$85 Million Ethereum Short Position Faces Pressure as ETH Tests $1,900
An $85 million Ethereum short position has been open for over two months, according to Arkham's data. The trader, pension-usdt.eth, entered the short at an average price of around $1,700 and is currently down by nearly $10 million as ETH has climbed almost $200 from that entry level.
The large trade has put pressure on the position as Ethereum tests resistance around $1,900. However, the trader can maintain the short if sufficient collateral remains available, making it a risk indicator rather than proof of an impending squeeze.
ETF demand adds context to the situation, with regulated ETH exposure seeing net inflows of $49.6 million on August 7 via U.S. spot ETFs. While this does not guarantee higher prices or explain the trader's losses, it provides a backdrop for understanding liquidity and positioning in the market.
The liquidation level for the position stands at around $2,435, according to earlier monitoring data from HyperInsight. If ETH continues climbing, liquidation pressure could trigger buying; if it falls, the short could become profitable. Investors should watch price, derivatives positioning, and ETF flows together rather than treating one wallet as a market signal.