Ethereum Breakout Could Trigger $2.2B Short Squeeze

I view the data as a bullish technical trigger: if Ethereum (ETH) decisively breaks above $4,618, roughly $2.201 billion of cumulative short liquidations on major centralized exchanges could be forced, producing a strong short squeeze and a volatility spike.

I expect that forced liquidations would accelerate buying pressure and push prices higher in the near term, but false breakouts and rapid mean reversion remain real risks.

I’ll watch for a volume-backed, confirmed breakout before adding material exposure and will size positions for elevated volatility; otherwise I’ll wait for a clean retest or clearer confirmation.