Key Highlights
- Ethereum price surged 5% to around $2,750, with trading volume rising as buyers pushed ETH above $2,700.
- A whale bought 7,567 ETH worth about $19.93 million after previously selling 10,500 ETH for a $3.66 million profit.
- Ethereum open interest on Binance rose 37% to $6.58 billion, while about $170 million in ETH short positions were liquidated.
Ethereum price surged about 5% to around $2,750 on Monday, September 21 as buyers pushed the cryptocurrency above the $2,700 level.
The rally followed Ethereum’s recovery from the recent support area, while higher trading volume and futures activity accompanied the move.
According to data from CoinGecko as at 5:00 p.m. UTC, ETH is currently trading for $2,758 after climbing from a daily low below $2,600 within the last 24 hours. This surge pushed its market cap to around $334 billion in value within the same period.
The surge followed a short pullback in Ethereum’s price. According to data from its 4 hour chart on TradingView as at 5:00 p.m. UTC, ETH had fallen to around $2,560 before briefly testing the $2,550 support area. Buyers then stepped in, helping the price move back through $2,600 and toward $2,700.
Trading volume rises with the rally
The move became stronger between September 20 and 21. Ethereum climbed to $2,712 before giving back some of the gains and settling around the $2,700 level.
Trading volume also increased during the rally, reaching $24.055 billion, according to data from Coingecko. TradingView data showed ETH’s price momentum strengthening during the rally.
Ethereum’s Relative Strength Index, or RSI, has also moved higher to 71.33. The RSI is used to show how strongly an asset has been moving, so a reading above 70 is generally seen as overbought, which means the asset may have surged quickly.
Ethereum whale buys $19.93 million in ETH
The price surge was also followed by fresh purchases from a large Ethereum holder. According to Lookonchain, a whale with the wallet 0x4cee bought 7,567 ETH worth about $19.93 million after transferring stablecoins to Binance.
The purchase is notable because the same wallet had sold 10,500 ETH about one month earlier at an average price of around $2,252. That earlier trade brought the wallet about $3.66 million in profit.
This time, the wallet returned to the market at a higher ETH price. Lookonchain said the wallet bought the 7,567 ETH just two hours before its post, showing that the large holder was buying again after previously taking profit.
Lookonchain also reported another large movement involving Ethereum. Four wallets deposited 48,047 ETH worth about $130.7 million into Bitfinex after more than two years of inactivity.
Binance ETH open interest hits nine-month high
Activity in Ethereum derivatives also increased as ETH moved higher. According to data from CryptoQuant, Ethereum’s open interest on Binance increased from about $4.8 billion in late August to $6.58 billion on September 21. That is an increase of about 37% in less than one month.
Open interest measures the total value of active futures contracts. The increase indicates that the amount of outstanding ETH futures positions on Binance grew substantially during the period.
On Hyperliquid, Ethereum open interest was around $3 billion, while funding remained slightly positive, based on data from Loris Tool.
Short sellers face $170 million in liquidations
Short sellers also came under pressure during the rally. Data from CoinGlass as at 5:00 p.m. UTC, showed that about $170 million in ETH short positions were liquidated as Ethereum moved above $2,700. Total ETH liquidations reached about $198 million, with long positions accounting for the remainder.
When these positions were liquidated, traders were forced to buy back ETH, adding more buying pressure during the climb toward $2,712.
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