The Ethereum market is staging a dramatic battle between bulls and bears! As of June 12, 2025, Ethereum futures open interest has surged past $40 billion, setting a new historical high. This data not only exposes the crazy rise in market leverage but also foreshadows a liquidation storm involving $1.8 billion in short positions that is brewing.
Whale operations and institutional buying act as the fuse
On-chain data shows that a mysterious whale completed three rounds of precise strikes within 44 days: accumulating 30,000 ETH at low prices in April, selling off for a profit of $23.73 million at high prices in May, and then selling off for $82.76 million on June 10 to lock in a profit of $7.3 million, totaling over $31 million. Meanwhile, institutions like BlackRock have been aggressively accumulating through spot ETFs, with a net inflow of 43,000 ETH on June 11, setting a new 20-day high. The influx of institutional funds and whale operations have combined to push ETH prices above $2,860, hitting a four-month high.
Leverage nearing critical levels, liquidation risks on the brink
The current Ethereum market presents a risk map resembling a "death cross": around $2,600, there is a $2 billion risk of long position liquidations, while above $2,900, there lies $1.8 billion in short positions. If prices break through key resistance levels, it could trigger a chain liquidation, forming a cascading collapse similar to that in “”. CoinGlass data shows that since May 8, the amount of short liquidations has reached $438 million, far exceeding the scale of long liquidations, intensifying the short squeeze.
Institutional predictions: Is $5,000 just the starting point?
Technical analysts point out that the ETH daily chart has formed a "cup and handle" pattern, targeting $4,100. If it stabilizes above the $3,000 neckline, upward momentum may be fully released. More aggressive forecasts suggest that ETH could challenge a historical high of $5,232. However, regulatory risks and profit-taking pressure remain hidden concerns, and if the macro environment deteriorates, prices could fall back to $1,200.
For valuable insights in the crypto space, click my profile picture to follow me for more. Bull market potential coins deployment and daily spot strategies available.
