Ethereum

American Bitcoin

Read

Spot

<ul>
 <li>Over $3 billion in Ethereum shorts are in danger.</li>
 <li>ETH nearing the $3,500 resistance level.</li>
 <li>A breakout could trigger a massive short squeeze.</li>
</ul>
<p>Ethereum is trading close to a major resistance level, and if the bulls manage to push it above $3,500, the crypto market could witness a dramatic shift. Currently, over <strong>$3 billion in Ethereum shorts</strong> are open across major exchanges, and a breakout could trigger a wave of <strong>liquidations</strong>.</p>
<p>Shorts are bearish positions that profit when prices fall. But when the price rises instead, short sellers are forced to buy back ETH to cut losses, resulting in a <strong>short squeeze</strong>. This buying pressure can push prices even higher, creating a cascading effect in the market.</p>
<h2 class="wp-block-heading" id="why-3-500-is-a-key-level">Why $3,500 Is a Key Level</h2>
<p>The $3,500 level is a psychological and technical resistance point for ETH. Over the past weeks, Ethereum has made several attempts to break this level but has faced heavy selling pressure. If ETH finally manages to close above $3,500, it would signal strong bullish momentum.</p>
<p>According to on-chain data and futures market analytics, over <strong>$3 billion in short positions</strong> would be at risk of liquidation. This could lead to <strong>a rapid price surge</strong>, similar to what has been seen in previous crypto rallies.</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet">
   <p>ALERT: Over $3 billion in Ethereum shorts will be liquidated if <a href="https://twitter.com/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">$ETH</a> breaks above $3,500. <a href="https://t.co/UfZEhFHW39" rel="noopener noreferrer nofollow">pic.twitter.com/UfZEhFHW39</a></p>— Cointelegraph (@Cointelegraph) <a href="https://twitter.com/Cointelegraph/status/1996467241705968104?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">December 4, 2025</a>
  </blockquote>
 </div>
</figure>
<h2 class="wp-block-heading" id="what-this-means-for-traders">What This Means for Traders</h2>
<p>If Ethereum breaks $3,500, short sellers could suffer significant losses, and long holders may benefit from the rally. Traders should be prepared for increased <strong>volatility</strong>, especially as liquidations can add fuel to upward price movements.</p>
<p>For those holding ETH or planning to enter the market, the coming days could be crucial. A successful breakout might not just liquidate shorts but also attract new buyers, pushing Ethereum further toward the $4,000 mark.</p>
<h4 class="wp-block-heading">Read Also :</h4>
<ul>
 <li><a href="https://coinomedia.com/aster-2026-roadmap/" rel="noopener noreferrer nofollow">Aster Unveils 2026 Roadmap with Chain Launch &amp; Staking</a></li>
 <li><a href="https://coinomedia.com/retail-sentiment-crypto-bounce/" rel="noopener noreferrer nofollow">Retail Sentiment Dips Signal Crypto Market Bounces</a></li>
 <li><a href="https://coinomedia.com/hyperliquid-hype-token-transfer/" rel="noopener noreferrer nofollow">Hyperliquid Moves $411M in HYPE Tokens to Hypercore</a></li>
 <li><a href="https://coinomedia.com/phemex-ignites-year-end-trading-frenzy-with-450000-futures-apex-competition/" rel="noopener noreferrer nofollow">Phemex Ignites Year-End Trading Frenzy with $450,000 Futures Apex Competition</a></li>
 <li><a href="https://coinomedia.com/uniswap-sec-defi-criticism/" rel="noopener noreferrer nofollow">Uniswap Founder Slams Citadel, SEC Over DeFi Push</a></li>
</ul>
<p>The post <a rel="noopener noreferrer nofollow" href="https://coinomedia.com/ethereum-shorts-liquidation-2/">$3B in Ethereum Shorts at Risk if ETH Tops $3,500</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://coinomedia.com">CoinoMedia</a>.</p>

$3B in Ethereum Shorts at Risk if ETH Tops $3,500

Table of Contents

CoinoMedia

Other articles published on Dec 4, 2025

Join our free newsletter for daily crypto updates!