Ethereum (ETH) once again faces DeFi liquidations, with its price dropping below $1,900. Major risks are centered on the Maker platform, where two significant loans may lead to $229M in asset liquidations.
ETH Price Drop and DeFi Liquidations
The ETH price reached $1,807.77, threatening liquidation for large positions. One major lender has a liquidation price at $1,787.86 with a 171% collateral ratio. Another significant lender is also at risk with a liquidation price of $1,701.54 and $74M in DAI debt.
Impact of ETH Sales on the Market
Current ETH sales add additional pressure to the market. A large holder moved 6,131 ETH to Binance, potentially escalating price drops further. Aave network saw over $258M in liquidations last month, more than other networks.
Ethereum Market Sentiments
Despite short-term declines, risk-taking sentiments prevail in the Ethereum market. Buy positions are being rebuilt at certain levels despite the general pessimism. ETH's price against BTC has fallen below all support levels, causing concern among traders.
While DeFi continues to face risks, a reduction in liquidations and recovery in market sentiment may stabilize Ethereum positions. ETH remains under pressure, yet traders maintain hope for its recovery.
