Recently, many people have been following the risk of ETH falling to 2900, but there is another set of data that is worth a deeper look—if ETH can strongly break through the 3100 barrier, the liquidation scale of short positions on mainstream exchanges will soar to 918 million USD. Compared to the liquidation amount on the downside at 2900, this is nearly 300 million USD more. In other words, once it holds above 3100, the chain reaction of a collective liquidation of short positions may trigger a wave of short squeeze pump, and this opportunity window should not be underestimated.
Why is the liquidation force at the 3100 position even stronger? This involves a core logic of market psychology. 3100 is a resistance level that ETH has repeatedly failed to hold recently, and a large number of short positions are stuck at this level. Their thinking is very straightforward: "If it can't break through, it means it's the top." But once the price really holds above 3100, these short positions' stop-loss lines will be gradually triggered, and a large amount of liquidation essentially constitutes passive buying, which instead becomes the driving force to push the price up. This is the core mechanism of a short squeeze.
Looking at the recent liquidation charts, the liquidation orders around 3100 are clearly higher than those around 2900, indicating that there is greater divergence in the market at this position. The cascading liquidity reaction triggered after a breakout would be more intense. From the perspective of capital flow, quite a bit of institutional money has indeed been quietly positioning long positions in the past 24 hours, possibly in preparation for a breakout at 3100.
However, it must be said that a short squeeze comes quickly and goes just as fast, and the pullback may be even more severe. If you really want to participate, do not think about chasing highs with leverage; trying with a small position is a more prudent approach. Set the stop-loss line just below 3100, so that even if your judgment is wrong, there is enough buffer space.
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wrekt_but_learning
· 2025-12-26 18:20
$918 million in liquidation volume sounds pretty scary... but chasing highs with leverage is really asking for death.
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If the 3100 level is truly broken, I can already imagine the scene of collective short squeeze liquidations, but such short squeeze rebounds can also collapse quickly. I’d better stay cautious.
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Institutions are positioning for a long? Then I need to see clearly before acting. Small positions for trial and error.
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Every time I see this kind of analysis, I want to go all in, and then I get slapped in the face... better to set stop-losses properly first.
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The saying that a short squeeze comes quickly and leaves just as fast really hit home for me. I still vividly remember the lesson from the last chase.
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Liquidation data is off by $300 million. This level of liquidity shock is really intense, but don’t bet your entire fortune on it.
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OnchainUndercover
· 2025-12-26 10:04
9.18 billion in liquidation volume sounds very tempting, but I bet the shorts won't just willingly get liquidated.
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SleepyArbCat
· 2025-12-26 08:02
Breaking 3100 is really a big event... Over 900 million in liquidation volume, how many shorts must be unable to sleep? Just thinking about it makes me sleepy.
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DAOTruant
· 2025-12-26 04:27
Breaking 3100 really allows you to play, but don't be reckless and add leverage.
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SatoshiHeir
· 2025-12-23 21:50
It should be pointed out that this analytical framework essentially falls into an old fallacy—equating the scale of liquidation with price momentum. Let me refute this argument with on-chain data.
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That barrier at 3100, to put it bluntly, is a battlefield of psychological games. The short positions stuck here are not a technical issue, but a matter of belief. Once it breaks through, the 918 million liquidation scale you mentioned will indeed trigger, but that doesn’t mean it will automatically lead to a short squeeze— it also depends on whether the liquidity depth is sufficient. History tells us that the most violent rebounds often die at these "seemingly inevitable rise" positions.
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Ladies and gentlemen, let me say this: the notion of institutional funds "quietly laying out" sounds very romantic, but according to the spirit of the White Paper, the market should be transparent. If there really is 900 million dollars in liquidation waiting, then one should ask oneself—why do they still need to be "quiet"?
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I agree with the advice on stop loss, but you underestimate the brutality of pullbacks. Small position trial and error is fine, but the problem is that most people can’t hold on.
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AirdropDreamer
· 2025-12-23 21:50
3100 is really about to break, short positions will be completely wiped out, the 900 million liquidation scale indicates what... This is why institutions are quietly positioning themselves.
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RektButAlive
· 2025-12-23 21:34
If 3100 breaks, the short positions will really get wiped out. 900 million in liquidation volume sounds pretty fierce, but I still think this short squeeze will be easy to get into but difficult to get out of.
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MetaverseVagabond
· 2025-12-23 21:33
It's really hard to say whether 3100 will break or not, but I believe the institutions are positioning themselves for this.
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This short squeeze came quickly and will also go quickly; I'm not planning to chase it, I'll wait for a pullback to see.
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A clearing volume of 900 million sounds quite scary, but by the time that happens, the Large Investors will have definitely run away.
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The short positions have been stuck at 3100 for so long; if it breaks, it will indeed be very tragic, but I'm still in the mindset of trying with a small position.
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Setting a stop loss below 3100 means I'll still be at a loss; this game isn't fun, brothers.
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Watching the institutional funds quietly position themselves, I have to admit I'm feeling a bit of FOMO, to be honest.
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If it really does start a short squeeze this time, I'm a bit scared of how fierce the pullback will be afterwards.
View OriginalReply0
ContractCollector
· 2025-12-23 21:32
3100 is a critical level for short positions, once it holds above, there will be a direct liquidation scale of 900 million, the power of this short squeeze is indeed fierce.
Recently, many people have been following the risk of ETH falling to 2900, but there is another set of data that is worth a deeper look—if ETH can strongly break through the 3100 barrier, the liquidation scale of short positions on mainstream exchanges will soar to 918 million USD. Compared to the liquidation amount on the downside at 2900, this is nearly 300 million USD more. In other words, once it holds above 3100, the chain reaction of a collective liquidation of short positions may trigger a wave of short squeeze pump, and this opportunity window should not be underestimated.
Why is the liquidation force at the 3100 position even stronger? This involves a core logic of market psychology. 3100 is a resistance level that ETH has repeatedly failed to hold recently, and a large number of short positions are stuck at this level. Their thinking is very straightforward: "If it can't break through, it means it's the top." But once the price really holds above 3100, these short positions' stop-loss lines will be gradually triggered, and a large amount of liquidation essentially constitutes passive buying, which instead becomes the driving force to push the price up. This is the core mechanism of a short squeeze.
Looking at the recent liquidation charts, the liquidation orders around 3100 are clearly higher than those around 2900, indicating that there is greater divergence in the market at this position. The cascading liquidity reaction triggered after a breakout would be more intense. From the perspective of capital flow, quite a bit of institutional money has indeed been quietly positioning long positions in the past 24 hours, possibly in preparation for a breakout at 3100.
However, it must be said that a short squeeze comes quickly and goes just as fast, and the pullback may be even more severe. If you really want to participate, do not think about chasing highs with leverage; trying with a small position is a more prudent approach. Set the stop-loss line just below 3100, so that even if your judgment is wrong, there is enough buffer space.