buy

Ethereum Short Liquidation Signals Near-Term Bullish Momentum

I saw an Ethereum short of $70.6K get liquidated at $4,531.56.

I view that liquidation as bullish — it removes short pressure and can amplify upward momentum in the near term.

I’ll be cautious about a pullback: I prefer scaling in with risk limits rather than full exposure immediately.

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Analysis

Liquidation of a sizable short reduces immediate selling pressure and can trigger a short squeeze, which typically supports a near-term price uptick. However, the signal lacks context on volume, broad...

Recommendation

I recommend a cautious buy: scale into a position or buy on a small dip, and use tight stop-losses to manage the risk of a reversal.

Disclaimer

The Analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.

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