Is an Ethereum liquidation storm approaching? $1.7 billion ETH potential liquidation zones revealed, with three key price levels at a glance

ETH2,97%

February 6 News, the latest on-chain monitoring shows that if Ethereum’s price continues to decline, ETH positions worth over $1.7 billion could be forcibly liquidated. Currently, Ethereum hovers around $1,896, but the liquidation prices for several high-leverage large positions are well below the current price, becoming a potential risk point of market concern. Once these levels are breached, automatic sell-off mechanisms could rapidly amplify volatility.

The first high-risk zone is between $1,560 and $1,690. This range mainly comes from Trend Research’s leveraged positions, which hold approximately 356,150 ETH with a market value of about $670 million. Due to the use of borrowed leverage, a price drop of about 10% to 17% could trigger concentrated liquidations, putting significant short-term pressure on the market.

The second zone is associated with Ethereum co-founder Joseph Lubin and two anonymous whales, holding a total of about 293,302 ETH worth approximately $550 million. The liquidation range is between $1,329 and $1,368. Although this is farther from the current price, if the upper zone is breached, a chain reaction could push the price into this range.

The third zone is near $1,000, controlled by an entity called “7 Siblings,” which holds about 286,733 ETH. The liquidation prices are concentrated around $1,075 and $1,029. This zone would only trigger in extreme market conditions, but historically, similar liquidation chains have caused deep corrections in a short period.

Liquidation levels are essentially hidden “pressure switches” on the chain. When the price reaches these levels, the system automatically sells to cover loans, creating a cascading effect. Currently, ETH remains above these levels, but the market is closely watching price movements. If the downtrend continues, short-term volatility could be significantly amplified.

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