- Eric Trump says it “puts a smile” to see ETH shorts liquidated, warning traders to stop betting against BTC and ETH.
- Ethereum surged past $4,000, leading to $105M in short liquidations, the largest across all crypto assets Friday.
- Analysts note $4,100 resistance for a potential short squeeze, with bullish targets reaching up to $8,000.
Ethereum surged past $4,000 on Friday, its highest level in eight months, and leading to major short liquidations across the crypto market. Approximately $105 million in Ether short positions were wiped out in 24 hours, accounting for 53% of all liquidations. This price jump drew a response from Eric Trump, son of U.S. President Donald Trump, who told his 5.8 million followers to “stop betting” against Bitcoin and Ether.
Short Liquidations and Market Shift
Trump posted on X, stating, “It puts a smile on my face to see ETH shorts get smoked today. Stop betting against BTC and ETH — you will be run over.” The comment came as Ethereum surpassed $4,000 for the first time since December 2024. The rally coincided with analysts pointing to $4,100 as the key level for a potential short squeeze.
The momentum was supported by on-chain data from CryptoRank, showing that 95% of Ethereum holders were in profit at the $4,000 mark. Market activity suggested growing institutional involvement, adding to the price pressure on short positions.
Institutional Demand and Liquidity Growth
Analyst Ted Pillows noted that Ethereum ETFs have been actively accumulating positions, adding significant demand to the market. He noted that treasury companies and institutions were increasing holdings, while some governments were also expanding their crypto reserves.
According to Pillows, retirement funds and 401(k) plans could be the next entrants, creating additional demand. This aligns with a broader trend in global liquidity, as M2 money supply across the U.S., Eurozone, Japan, U.K., and Canada has reached a record $95.6 trillion. Analysts say this environment favors higher crypto valuations, with Ethereum benefiting from the influx.
Price Projections Gain Momentum
Technical analysis from Washigorira indicated Ethereum breaking out from a large symmetrical triangle, setting a potential target of $8,000. Last week, Eric Trump backed the same $8,000 projection by agreeing with a bullish market outlook. However, the $4,100 resistance remains the key short term level to monitor.
Consolidating Market Factors
Friday’s price action combined heavy short liquidations, strong institutional demand, and expanding global liquidity conditions. With most holders in profit and key resistance levels approaching, Ethereum is a focal point for both retail and institutional traders in the coming sessions.
