An Ethereum whale has made headlines after opening a massive $16.35 million long position on Ether using 25× leverage, signaling confidence that the latest dip could be over. The position was entered at $4,229.83 per ETH, a level that coincides with a dense cluster of short liquidations above the $4,300–$4,360 range, often regarded as a liquidity “magnet” by market markers. A modest 1% gain in Ether’s price from the entry point would translate into approximately $163,000 in profit, while a move toward the liquidity pool at $4,336 could generate paper gains exceeding $450,000 for the whale.
Technical analysis further bolsters the bullish case. Ether has held support at the 20-day exponential moving average (EMA), a trendline that has underpinned the recent uptrend since July, aside from a brief breakdown last month. On the daily chart, the 20-day EMA aligns with the lower boundary of a developing falling wedge pattern, a classic bullish reversal signal. Should ETH break above this wedge, targets could extend to the $4,750 level, near a 13% upside from current prices. Conversely, a drop below $4,046 would risk margin liquidation for this whale and could trigger broader short-term sell pressure.
On the weekly timeframe, Ether appears to be staging one of its most significant retests in recent years, with resistance around the $3,900–$4,000 area now acting as support. Market intelligence from CryptoRover and Kingfisher corroborates these technical zones, providing on-chain heatmaps that reveal concentrated stop-loss orders. The convergence of liquidation clusters, moving average support, and wedge patterns creates a high-conviction scenario for leveraged longs. Nevertheless, traders are advised to remain cautious in the event of a broader market downturn, as a breach of the $4,140 threshold could invalidate the bullish setup and lead to liquidation of leveraged positions. As always, risk management and position sizing are critical when trading high-leverage derivatives.
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