According to exchange data statistics, the current ETH price is near the $3000 mark, with total long liquidation amounts reaching $360 million. Relatively speaking, if ETH breaks through $3400, short liquidations worth $190 million are also waiting to be triggered. What does this data reflect?

In simple terms, liquidation intensity refers to how many leveraged positions are forcibly closed when the price moves to a certain level. The taller the bar, the more intense the liquidation, and the more volatile the market becomes. Currently, the $3000-$3400 price range has become a critical battleground where both bulls and bears are defending. Once one side collapses, a chain reaction of liquidations could sweep through the entire market like a bulldozer.

From a market structure perspective, the current sentiment is highly concentrated around this price level. A large number of traders are holding long positions above $3000, trying to hold on, while another group is betting that ETH will break through $3400 and open short positions. Both sides are heavily committed, creating a standoff similar to two armies facing each other at a narrow mountain pass, with retail traders following the trend becoming cannon fodder. Once one side's defense collapses, extreme price swings often follow.

What if the price drops below $3000? Bulls could all be forced out, likely triggering a flash crash, with holders being forced to cut losses. But from another perspective, this creates a swing trading opportunity for sharp-eyed traders. If the price reverses and breaks through $3400, short liquidations will push the price even higher—this is known as a "short squeeze," which can generate significant gains.

For traders currently involved in futures contracts, this thousand-dollar range could determine whether the next moment is paradise or hell. The key is to manage risk well—rather than blindly chasing maximum profits, setting reasonable stop-losses can prevent being wiped out by market volatility.

In practical terms, if you're unsure about the direction, the safest approach is to wait and observe until signals become clearer before entering. Or, strictly set stop-losses and avoid going all-in. Spot traders can consider scaling in: modestly accumulating below $3000 and following the trend above $3400. But the core principle remains risk management—better to earn less than to lose everything in one shot. The most important thing is to understand your risk tolerance and know when to enter and when to exit.