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In a major shift, it seems that the hedge boxes intensify short positions in ETHEREUM at an unprecedented rate, which raised questions about whether the second cryptocurrency through the market value may face turbulent water – or if there is something else in playing.
According to the famous analysts of Kobeissi (KobeissileTER) speech, the definition of short sites in Ethereum “has now rose +40 % in one week and +500 % since November 2024.” Their results, subscriber In X, he argues that “Wall Street’s hedge funds were not less than Ethereum, and they are not close,” Pay the question: “What do you know the hedge boxes?”
Huge pressure in the upcoming Ethereum?
Kobeissi’s speech theme highlights the intense difference between ETHEREUM price movement and future locations between hedge funds. They refer to a particularly volatile period on February 2, when ETHEREUM decreased by 37 % in just 60 hours with the appearance of trade addresses, as it eradicates more than one trillion dollars from the encryption market “in hours”.
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Analysts note how ETH flows were strong during December 2024 – even where hedge boxes enhance short exposure. According to the Kobeissi message: “In only 3 weeks, ETH +two billion dollars of new money with a record in a weekly flow of $ 854 million. However, the hedge boxes are betting on increasing the eth and limiting it to escape.”
They also confirm that the nails are in the size of ETHEREUM trading, especially on January 21 (opening day) and about 3 February crash. Despite the historically high flows, “ETHEREUM price has failed to recover the gap in a decrease with the passage of one week”, and is currently trading “about 45 % less than its high record in November 2021.”
One of the largest unknown remains why hedge boxes are devoted to reduce ETH. Analysts writes: “Possible causes of manipulation of the market ranges to unprocessing encoding, to look at ETHEREUM itself. However, this is somewhat strange because the Trump administration and the new organizers prefer ETH. This is greatly due to these extremist sites. , Ethereum has greatly reduced bitcoin.
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Kobeissi’s speech concludes its thread by drawing attention to the performance of Bitcoin and raises the issue of whether it could be the short pressure in making: Can Ethereum be for short pressure? This extremist site means great fluctuations like one on the third of February will be more common. Since the beginning of 2024, Bitcoin has rose 12 times like Ethereum. Was a short pressure set to close this gap? “
Glassnode’s Cryptovizart shoots
Not everyone in the field of Crypto analyzes is convinced that the tidal tidal and the tide of the tide and the islands indicate the enormous expectations. The first researcher in Glassnode, Cryptovizart.₿ (Cryptovizart), took to X to challenge The alarm shall take on social media: “Barchart screams,” The biggest eth is short in history! “And Crypto Twitter runs like a cut chicken, seriously, if you fall on this Clickbait, it’s time to raise your game. Let’s put the record straight.”
In a detailed thread, Cryptovizart indicates that the common scheme is widely on the short position of the hedge fund represents only one sub -group of the market (for example, “money / hedge boxes / ctas”) and does not represent other important participants in the market such as asset managers, The non -reporting merchants, and the bearers of the sequence. They add that similar “huge shorts” seen in the future contracts Bitcoin as well, but BTC outperformed ETH during the same period.
Moreover, Cryptovizart confirms that CME futures are just one of the global encryption derivatives. Liquidity provides platforms like Binance, Bybit and OKX, as well as parking for clouds and topical markets, a wider offer than any exchange data may suggest. “A clear collection ≠ the entire market is short. Hedge parking ≠ purely landing bets.”
Their final note: a lot of location can be part of “non -directional strategies – such as money and flower”, which are neutral strategies used to close arbitration gains and are not just a direct bet against ETH.
At the time of the press, ETH was traded at $ 2,629.
Distinctive image created with Dall.e, Chart from TradingView.com