$ETH

Traders are feeling the pressure right now. Liquidations are skyrocketing, with short and long positions being forcibly closed at an unprecedented rate. Now, the recent spike in Ethereum liquidations can be partly linked to the Bybit hacker case, but broader market trends suggest there is a bigger issue at play.

Traders are being forced out of positions due to insufficient margin, triggering a chain reaction of liquidations. As volatility increases, these events are raising concerns about market stability and pressures on traders. In fact, open interest in ETH derivatives has declined as positions are being forcibly closed, fueling further price swings.