Recently, Crypto Assets market observers have closely followed the price movement of Ethereum (ETH). According to the latest data analysis from the Blockchain data analysis platform Coinglass, the price movement of Ethereum may trigger large-scale contract liquidations.

If Ethereum breaks through its historical highest price, short positions on major centralized exchange (CEX) may face liquidation pressure of about $1.199 billion. Conversely, if the price of Ethereum falls below the $4,550 mark, long contracts could encounter liquidation risks of up to $2.128 billion.

It is important to note that these liquidation data do not represent the exact number or value of contracts awaiting liquidation. In fact, the bar chart in the liquidation diagram illustrates the intensity of liquidation for each price range relative to adjacent ranges. In other words, this data reflects the potential impact on the market when prices reach specific levels.

Higher bars in the liquidation chart indicate that once the price reaches that level, a more intense market reaction may be triggered due to significant liquidity changes. This visualization helps traders and investors better understand potential market risks and opportunities.

As the crypto assets market continues to develop, Ethereum, as the leader of smart contract platforms, experiences price fluctuations that not only affect its own ecosystem but may also have a chain reaction on the entire digital assets market. Market participants should closely follow this clearing data, manage risks rationally, and formulate wise trading strategies.