Ethereum Price Surge Burns Short Sellers as It Soars Past $3,330

Ethereum is back in the spotlight after a powerful 9% price rally sent it soaring past the $3,330 mark,  leaving short sellers reeling. . According to data from CoinMarketCap, traders betting against the world’s second-largest cryptocurrency lost over $152 million in liquidated short positions within 24 hours. The surge also pushed Ethereum ahead of Bitcoin in daily trading volume, igniting talk of a fresh “ETH season.”

Shorts Squeezed as ETH Spikes

The crypto market saw $251 million in total liquidations on the day, and more than half of that came from Ethereum shorts alone. Traders who had bet on ETH prices going down were caught off guard by the sudden spike. In comparison, Bitcoin, which rose a more modest 1.6%, saw only $34 million worth of short positions wiped out.

While Ethereum bulls celebrated, bears were hit hard as stop-loss orders and forced closures triggered a wave of automated sell-offs, adding fuel to the rally.

Trading Volume Surges Past Bitcoin

What truly turned heads was Ethereum’s daily trading volume, which reached $132 billion, beating Bitcoin’s $109 billion. This marks a rare moment when ETH not only gained faster than BTC but also drew in more capital in daily trades,  a strong signal of shifting market momentum.

Futures activity followed suit: open interest in Ethereum futures climbed 8.73%, and futures volume rose 27%, pointing to an influx of new positions. Interestingly, analysts noted that the leverage used in this round of futures trading appeared more balanced, suggesting a healthier and more sustainable market sentiment.

Arthur Hayes Declares It’s “ETH Szn”

Adding to all the buzz, well-known crypto figure and BitMEX founder Arthur Hayes got on social media to announce that “ETH szn” is officially here. Meaning that he believes Ethereum is about to lead the next market rally. He also shared that his investment firm, the Maelstrom Fund, plans to start backing Ethereum-based DeFi projects soon.

Coming from someone as famous  as Hayes, this kind of public support has only added to the growing confidence investors have in Ethereum’s future.

What This Means for Traders

Ethereum’s recent price surge didn’t just catch bearish traders off guard,  it might also be hinting at a bigger shift in the market. If trading volume and open interest continue to rise, analysts believe ETH could be preparing for another push upward.  Now that a wave of short positions has been wiped out, the path looks clearer for more gains. Still, traders are watching closely to see if Ethereum can break through key resistance around the $3,500 level.

Meanwhile, Bitcoin remains steady but overshadowed,  at least for now,  as Ethereum reclaims its spot in the spotlight.