Ethereum News Today: Ethereum Surges Past $4000 Triggering $105M Short Liquidations

Ethereum's price surged above $4,000 in early August 2025, marking its first move past that level since December 2024, and triggering a wave of short liquidations. According to CoinGlass data, Ether short positions valued at $105 million were liquidated within 24 hours, accounting for 53% of the total $199.6 million in crypto short liquidations observed that day [1]. The sharp price rise fueled a short squeeze, as bearish traders were forced to exit positions, further amplifying upward pressure on the asset [2].

The market shift coincided with public remarks from Eric Trump, who commented on social media, stating it “puts a smile on my face to see $ETH shorts get smoked today.” His message was widely seen as encouragement for bullish traders and a cautionary note for those maintaining bearish bets [3]. The timing of his comments amplified the event’s visibility, drawing attention to Ethereum’s strength and the risks associated with leveraged short positions [4].

The price rally was not isolated. Over the previous four trading days, spot Ether ETFs had seen $537 million in net inflows, according to Farside data. This influx of capital indicated growing institutional and retail confidence in Ethereum as an investable asset. Analysts attributed the trend to increased regulatory clarity and broader market stability, which helped support Ether’s price during volatile swings [5]. The ETF inflows also contributed to higher liquidity, potentially reducing the likelihood of extreme price corrections.

The surge past $4,000 raised market focus on the $4,100 resistance level. A decisive break above that threshold could open the door to further gains, with some analysts projecting a potential test of $4,400 or $4,500 if bullish momentum holds. Traders are monitoring volume patterns and sentiment as the asset approaches this critical price level [6]. However, the market remains vulnerable to rapid reversals, as seen in the sharp 4.6% price increase that occurred within a short time frame. Those on the wrong side of the move were forced to cover their positions quickly, accelerating the upward trend [7].

The broader crypto market also showed signs of increased institutional participation, with elevated volumes and active trading observed across major assets. While Bitcoin and Ethereum remained the focal points, altcoins continued to benefit from the overall bullish sentiment. Nevertheless, the volatility of the environment serves as a reminder of the inherent risks in leveraged trading. As Ethereum’s price continues to test higher levels, traders are advised to remain cautious and closely monitor key resistance points and liquidity levels [8].

Ethereum’s price movement highlighted the interplay between retail sentiment, institutional flows, and short-position dynamics. The $105 million in short liquidations underscored the rapid shift in market sentiment and the growing influence of leveraged positions in shaping price action. As Ether approaches new resistance levels, the market’s response will likely determine its next trajectory.

Source:

[1] title: Ethereum News: $105M Ether Shorts Liquidated as Eric ...

url: https://www.binance.com/en/square/post/08-09-2025-ethereum-news-105m-ether-shorts-liquidated-as-eric-trump-warns-bears-stop-betting-against-btc-and-eth-28078768586409

[2] title: Ether Surpasses $4000 Triggering $105M Short ...

url: https://www.ainvest.com/news/ether-surpasses-4-000-triggering-105m-short-liquidations-bullish-speculation-2508/

[3] title: Eric Trump cheers ETH short liquidations as price jumps ...

url: https://www.ainvest.com/news/ethereum-news-today-eric-trump-cheers-eth-short-liquidations-price-jumps-4-6-4-000-2508/

[4] title: Ethereum experienced a sharp price increase in early August 2025, pushing above $4,000 for the first time in eight months and triggering significant market reactions.

url: https://cryptonewsland.com/eric-trump-remarks-follows-ether-surge-triggers-105m-in-short-liquidations/

[5] title: ETF Inflows Boost Market Confidence

[6] title: $4,100 Resistance Level in Focus

[7] title: Short Covering Drives Rapid Price Movement

[8] title: Here's what happened in crypto today

url: https://cointelegraph.com/news/what-happened-in-crypto-today