$100 Million in Ether Positions at Risk of Liquidation Amid Price Drop
On-chain data from DefiLlama indicates that nearly $100 million in ether (ETH) positions are vulnerable if the price drops by 15%. Key points include:
- ETH experienced a decline of nearly 16% on Monday, trading above $1490.
- The CoinDesk 20 index fell by 13%, raising concerns about further losses during U.S. market opening.
- If ETH falls below $1,274, over $100 million in leveraged positions may be liquidated.
- Liquidations involving spot assets could increase market supply and selling pressure more than derivatives liquidations.
- One wallet close to liquidation at $1,418 managed to reduce its ETH holdings and repay some DAI owed.
- A potential 20% drop in ETH could risk an additional $36 million.
- The largest ETH position has $147 million in collateral with a liquidation price of $1,132.
- Lending protocols suffered significant losses, down 17% on the day, as leverage concerns rise.
