$170M Ether longs liquidated as crypto market tumbles: Is ETH doomed?
ETH fell 5% in a day, wiping out 12 days of gains and triggering about $170 million in liquidations of leveraged long positions. Perpetual futures funding briefly turned sharply negative, showing weak bullish conviction. Over the past month, ETH dropped 20%, slightly worse than the broader crypto market, amid macro and risk-off pressure. Ethereum still leads decentralized finance, with about $38 billion in TVL and roughly 53% market share, plus 43% of DEX volume when layer-2s are included. But DApp activity and overall TVL have weakened, reducing demand for blockchain processing and ETH. Investor sentiment is also hurt by six straight weeks of net outflows from US spot Ether ETFs, totaling about $910 million since mid-May. Ethereum Foundation layoffs added to concerns, though the network’s development continues beyond the foundation. The upcoming Glamsterdam upgrade could improve security, execution efficiency, and decentralization.
