Ethereum News Today: Ethereum's $3,600-$3,400 Crossroads: $1.37B in Liquidation Threats

Ethereum's price movements have triggered significant short liquidation pressure on major centralized exchanges, with data indicating that if ETH rebounds above $3,600, cumulative short liquidation intensity could reach $807 million. This threshold, highlighted by a Lookonchain feed, underscores the precarious balance of leverage in the market as traders brace for potential volatility. Conversely, a drop below $3,400 could trigger $564 million in long liquidations, further complicating the outlook for stability.

The cryptocurrency's recent performance has been shaped by a mix of institutional and retail activity. Ethereum-based spot ETFs have attracted $9.6 billion in inflows during the third quarter of 2025, outpacing Bitcoin's $8.7 billion in the same period, according to a TradingView report. This surge reflects growing institutional confidence, with Ethereum's total holdings in ETFs now exceeding $25 billion—more than 5% of its circulating supply, per a The Block article. Meanwhile, large withdrawals from exchanges, particularly in October, suggest investors are accumulating ether ahead of potential price gains, the TradingView report found.

Options market data also points to a bearish bias. On October 31, $2.6 billion in Ethereum options expired on Deribit, with a put-to-call ratio of 1.91. The asset traded at $3,847, below the max pain level of $4,100.12, indicating a structural pressure for price discovery, according to the TradingView report. However, Ethereum's trading volume in October hit a record $133.45 billion, an 83% increase from September, signaling heightened speculative activity, as noted in The Block article.

The exchange landscape has added another layer of complexity. MEXC faced scrutiny after wrongly freezing $3 million from a crypto whale known as "The White Whale," sparking a 30x surge in Bitcoin withdrawals from the platform, per a CryptoNews report. The incident highlighted operational gaps at rapidly scaling exchanges, with MEXC's leadership acknowledging the need for improved transparency and risk management.

Price forecasts remain mixed. While Ethereum treasury firm BitMine added 82,353 ETH to its holdings in October, pushing its stash to 3.39 million ETH (2.8% of the circulating supply), the asset fell over 6% on Monday to test the $3,470 support level, according to an FXStreet analysis. Technical indicators show the RSI approaching oversold territory, but a recovery above $4,100 would be needed to rekindle bullish momentum.