On November 4, Ethereum (ETH) dropped below $3,400, recording its first loss of 2025 and sparking more than $1.1 billion in crypto liquidations within a single day, according to
a BeinCrypto report
. This sharp decline, the largest daily drop in several months, wiped out all of the year’s gains for the world’s second-biggest cryptocurrency and brought
Bitcoin
(BTC) close to $100,000—a price not seen since June. Over 303,000 traders saw their positions liquidated, with $287 million in long trades erased in just one hour, highlighting the rapid unwinding of leverage on major platforms.
During the market chaos, blockchain data showed notable moves by
Ethereum
whales. One prominent whale closed a short position of 66,000
ETH
, locking in $24.48 million in profit by settling the debt and moving 482 million
USDC
in collateral to Binance,
Coinotag reported
. At the same time, another major holder sold 5,500 ETH at a loss, reflecting a broader pattern of large investors adjusting their strategies amid the volatility. Interestingly, the same address that withdrew 110,000 ETH from Binance in one day—worth $386 million—shifted from short selling to buying, which could indicate a market bottom, according to
LookonChain
.
Ethereum’s recent price swings have put a spotlight on liquidity changes. One whale sent 3,000 ETH to Binance, adding to a position that has reportedly earned $14.8 million since 2023,
Coinotag reported
. In contrast, another large investor took a $1.08 million hit after transferring 6.8 million
ASTER
tokens back to Binance, illustrating the dangers of high-risk trades,
Coinotag reported
. These actions highlight a market contending with leveraged trading and changing sentiment, as the BeinCrypto report also pointed out that the Relative Strength Index (RSI) for both ETH and
BTC
neared oversold territory.
The selloff was not limited to Ethereum; Bitcoin and other altcoins such as
Solana
and
BNB
also saw significant liquidations. Despite institutional outflows, retail investors continued to buy ETH, showing confidence in the asset. Experts link the downturn to broader economic factors and the unwinding of speculative positions, though some view the current dip as a buying opportunity.
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