Ethereum is approaching pivotal price levels near $3,675 and $4,053 that could force massive liquidations across derivatives markets, creating critical volatility benchmarks for traders.
Should Ethereum’s price fall below the $3,675 support threshold, approximately $1.969 billion worth of long positions on major centralized exchanges would face liquidation. Conversely, a surge above $4,053 resistance would trigger the liquidation of roughly $1.348 billion in short positions, potentially signaling strong bullish momentum.
These thresholds represent crucial volatility inflection points due to their capacity to magnify market movements through forced position closures. Data analytics platform Coinglass indicates exceptionally high market sensitivity around these ETH price levels, where modest fluctuations could cascade into amplified volatility.
Leveraged traders remain particularly exposed to abrupt price swings near these liquidation clusters. The concentration of vulnerable positions heightens risks of accelerated price movements once either threshold is breached, creating domino effects across trading venues.