Ethereum (ETH) Liquidations

Despite the recent spike in ETH bullishness, the long liquidations in the ETH market were caused in part by the belief that the Merge – Ethereum's move from PoW to PoS consensus mechanisms – is imminent. Earlier in July, Ethereum developer Tim Beiko recommended September 19 as a possible date for the Merge.

The revelation is said to have contributed to a jump in the price of ETH from about USD 1,200 to close to USD 1,600 between July 16 and July 18, as a significant quantity of leveraged shorts were liquidated.

A blog post published at the time by the crypto derivatives exchanges Deribit noted that the price surge "looks to be triggered by a gamma squeeze," or large-scale purchase of short-dated call options. The article, however, cautioned that the price rise "lacks substantial basis."

Indeed, ETH plummeted substantially this week on Monday, with the selloff continuing on Tuesday, as seen by many other crypto assets.

BTC was down 3.7 percent in the last 24 hours and 5.7 percent for the week at USD 21,113 at 12:34 UTC on Tuesday. Simultaneously, ETH was trading at USD 1,402, down 8.3 percent on the day and 10.6 percent on the week.

If you want to buy Ethereum with Perfect Money, press the button below!

The related articles:

- Solana Team Set to Open Doors of a Physical Store in New York to Promote Solana and Web3

- Coinbase Refutes Claims That It Lists Securities As SEC Kicks Off Investigation

- DeFichain’s DFI Token Starts Trading On Huobi Globall