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Crypto Express

07/25 10:07

How one exit stalled ETH’s momentum


The ripple effect hit Etheruem hard. As loopers started dumping stETH, sell pressure bled into the broader ETH market. Liquidity thinned out, slippage kicked in, and volatility spiked.

Open Interest started bleeding too. Around $150 million in long liquidations got wiped out, right as ETH was already topping out near $2,860. It was a classic local top: Overheated, overleveraged, and primed for a flush.

Sure, it wasn’t a full-blown selloff, but it definitely added friction to the upside and put the brakes on Ethereum’s rally. 

The key takeaway? Ethereum’s DeFi stack isn’t as decentralized as we think. One whale rotation triggered a liquidity crunch, blew out leverage, and exposed just how fragile the system still is. ETH ate the downside.
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