#加密市场回调

Analysis: The main force behind shorting Ethereum this round seems to be hedge funds.

Ethereum's price recently approached the $5,000 high, triggering bullish sentiment in the market, but it failed to break through this barrier as sellers once again pressured the price down. The primary downward pressure comes from large hedge funds that are shorting the second-largest cryptocurrency at a record scale. When Ethereum's price reached $4,000, short positions increased, indicating a weakening upward momentum.

According to data from The Block, hedge fund-dominated short positions in Ethereum nearly doubled in August, jumping from $2.3 billion to $4.19 billion, indicating continued bets on a decline in ETH prices. In contrast, asset management companies hold a relatively optimistic view on Ethereum, maintaining over $1.22 billion in long positions, but this amount is still lower than the short positions. Other investors' short holdings reached $397.5 million, adding to the downward pressure in the market. Although hedge funds hope for a decline in ETH to profit, historical trends show that such large-scale short positions often trigger a short squeeze, leading to a price rebound.