Ethereum Rebounds on Short Liquidation Surge

Ethereum's price has rebounded sharply over the past week, climbing from a multi-week base of $1,870 to $2,517 before easing back to $2,460.89.

The rally is attributed to forced short covering rather than fresh spot buying, with trading volume reaching $15.96 billion over 24 hours and the token gaining 1.88% in a single day and 31.20% across seven days.

Average weekly short liquidations of $131.0 million marked a 1,514% jump from the prior week and a 437% rise above the 90-day average, driving the price surge.

Network activity shifted alongside the price move instead of leading it, with base fees rising 189% week-over-week and the dollar value of fees burnt climbing 251%, breaking a two-month stretch of compressed activity on the chain.