Ethereum News Today: Eric Trump Backs Ethereum as $4,000 Rally Triggers $105M Short Liquidations

Eric Trump, the son of former U.S. President Donald Trump, recently voiced public support for Ethereum (ETH) amid a sharp rally in its price, sharing a clear sense of satisfaction as short sellers faced heavy losses. Posting on X, he stated, “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,” a message that quickly gained traction on social media across platforms like X, Facebook, and Instagram [1][2][3]. His comments were seen as an indirect warning to traders who had positioned themselves against the cryptocurrency, reinforcing a bullish sentiment that has taken hold in recent market sessions.

The surge in Ethereum’s price, which pushed it above $4,000 for the first time since December 2024, triggered a wave of short liquidations. According to market data, approximately $105 million in short positions were wiped out within a 24-hour period, accounting for 53% of all crypto-related liquidations. This price movement was particularly significant as Ethereum’s rally coincided with key resistance levels, with analysts noting $4,100 as a critical threshold for a potential short squeeze [4]. On-chain data from CryptoRank showed that 95% of Ethereum holders were in profit at the $4,000 level, further indicating broad-based optimism among investors [5].

The market’s momentum has also been fueled by increased institutional demand. Analyst Ted Pillows highlighted that Ethereum ETFs have been actively accumulating positions, with treasury companies and institutional investors expanding their holdings. He noted that governments are also increasing their crypto reserves, a trend that could lead to further inflows from retirement funds and 401(k) plans. This aligns with a broader rise in global liquidity, as M2 money supply across major economies reached a record $95.6 trillion, creating a favorable macroeconomic backdrop for higher crypto valuations [6].

Technical analysts have also pointed to Ethereum’s potential for further gains. Washigorira noted that the asset had broken out from a large symmetrical triangle, projecting a potential target of $8,000. While this figure has not been officially forecasted by Eric Trump, he expressed alignment with the bullish outlook, indicating his confidence in Ethereum’s trajectory [7]. However, market participants remain cautious about the $4,100 resistance level, viewing it as a key near-term marker for price stability.

The convergence of heavy short liquidations, strong institutional involvement, and expanding global liquidity conditions has positioned Ethereum as a focal point for both retail and institutional traders. With most holders in profit and key resistance levels approaching, the cryptocurrency is drawing increased attention in the market. Eric Trump’s remarks, though not a financial forecast, reflect the real-time impact of market events and the growing influence of high-profile figures on trader sentiment.

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Source:

[1] https://x.com/WatcherGuru/status/1953939493297238317

[2] https://www.bitget.com/news/detail/12560604904098

[3] https://www.facebook.com/WatcherGuru/posts/just-in-eric-trump-says-it-puts-a-smile-on-my-face-to-see-eth-shorts-get-smoked-/768046662247970/

[4] https://x.com/cryptoamanclub/status/1954006431159792017

[5] https://www.ainvest.com/news/ethereum-news-today-ethereum-surges-4000-triggering-105m-short-liquidations-2508/

[6] https://insights.goonus.io/en/insights/eric-trump-says-it-puts-a-smile-on-my-face-to-see-eth-shorts-get-smoked-today/

[7] https://www.instagram.com/p/DNHHKvIzA5B/