Key takeaways:

• One ETH trader lost $36.4M in a single liquidation, cementing over $45M in total losses.

• Ethereum now faces heavy long liquidation clusters at $2,370–$2,500.

• Ether price technicals hint at another 10%–15% drop this month.

An Ethereum trader lost $36.4 million following the liquidation of a massive long bet, after Ether (ETH) slid below the $4,000 mark on Thursday.

Ether suffers over $718 million in long liquidations

Wallet “0xa523” had staked 9,152 ETH on a price rise, only to be wiped out in one of the largest single-trader losses in the past 24 hours.

Wallet “0xa523” was left with just $500,000, with its total realized losses exceeding $45.32 million, leading Lookonchain to call it Ethereum’s “biggest loser.”

The wipeout came amid a $331.66 million long squeeze that has punished bullish traders over the past 24 hours, according to CoinGlass data.

This week alone, Ethereum traders have suffered over $718 million in long liquidations versus $79.62 million in short liquidations. Ether’s price has dipped 10.56% in the same period.

Related: How one trader turned $125K into $43M on Ether — and what you can learn from it

CoinGlass’s liquidation heatmap highlights a huge build-up of leverage between $2,370 and $2,500.

Therefore, if ETH keeps falling, many longs are set to be liquidated in that range, making it a likely area where selling could intensify before the market regains its footing.

On the upside, a big cluster sits at $4,760–$5,000. Short sellers will be in trouble and could be forced to buy back, driving prices higher, if ETH rebounds to those levels.

ETH price technicals warn of another 10-15% drop

Ethereum has confirmed a breakdown from a symmetrical triangle pattern on the daily chart, typically a bearish reversal setup if it occurs after a strong uptrend.

The move shifts immediate bias to the downside, with the next target sitting near the 0.382 Fibonacci retracement level at $3,595, down by around 10% from current levels in the short term.

The downside target falls in the support zone — the $3,600–$3,400 area — highlighted by ETH’s Volume Profile (VPVR).

It further overlaps with ETH’s 200-day exponential moving average (200-day EMA; the blue wave) near $3,392, indicating that the price can drop by 15% in the worst-case scenario if the sell-off gains steam into October.

Can ETH prices recover?

Popular analyst Kamran Azghar highlighted around $3,600 as a “key demand” zone, noting that the ETH price may rebound to seek $4,900 or higher.

Meanwhile, Ethereum’s weekly chart showed price retesting a key horizontal support zone around $3,800–$4,000, as highlighted by analyst Cold Blood Shiller.

The area had acted as a resistance during the 2022–2023 cycle. A successful defense of this level would strengthen the case for bullish continuation, turning former resistance into support.

A rebound toward the $4,760–$5,000 cluster, as highlighted by many bullish analysts in the past, remains possible if ETH bulls defend the $3,800–$4,000 levels in the coming days.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.