A significant risk for bearish traders exists as the Ethereum price nears a crucial point. If ETH hits $4,800, an estimated $7.23 billion worth of short positions could be liquidated, potentially triggering a ‘short squeeze’ effect. This rapid market movement could propel ETH prices even higher. Analysts point to growing institutional interest and positive regulatory sentiment for the recent surge. 4,800 USD marks a critical level for Ethereum, creating an environment ripe for volatility. Short selling involves betting on price decline, but if prices increase instead, short sellers are forced to buy back the asset, often at a loss. This buying pressure can further drive up ETH’s price.