Ethereum, the second-largest cryptocurrency by market capitalization, has returned to its all-time high of $4,868, marking a significant event in the market.
Return to All-Time High
According to data from TradingView, Ethereum reached its previous all-time high of $4,868 on Binance, which occurred exactly 1,381 days after last achieving that level during the 2021 bull market. In early 2024, ETH showed strength that continued into 2025, pushing above $3,500.
Institutional Short Positions
Despite the bullish trend, institutional short positions remain at multi-year highs. According to CME's report, net shorts reached -18,438 contracts. The volume of short positions has steadily increased since 2023, with no green bars in the past 20 months, indicating expectations of a price correction.
Future Predictions for Ethereum
Crypto investor Arthur Hayes has voiced an optimistic thesis on ETH, projecting a potential rise to $20,000 in the current cycle. Should Ethereum breach the $5,000 mark, the accumulated shorts could lead to a historic short squeeze.
Ethereum's return to its historical peak sparks a wave of optimism in the market, though uncertainty remains due to high short positions among institutional traders.
