Ethereum leads the crypto market with a 7% gain, forcing widespread short liquidations as investors pivot back to risk-on assets despite looming Fed rate hike expectations.
ETH surged 7% on risk-on bounce, outperforming majors and triggering short liquidations.
SOL rose 2% in the risk-on bounce, but underperformed ETH.
HYPE gained 2% in the crypto bounce, trailing ETH's strength.
ZEC added 2% in the risk-on move, but lagged behind ETH.
BTC was flat (+0.33%) amid the risk-on bounce, showing no significant move.
Ethereum surged 7% today, significantly outperforming Bitcoin and other major altcoins as a sudden risk-on sentiment shift triggered a massive short squeeze. The rally, fueled by liquidations of crowded short positions, occurred despite mixed CPI data that has traders pricing in an 80% probability of a Federal Reserve rate hike at next week's FOMC meeting.
Ethereum experienced a sharp short squeeze as a shift toward risk-on sentiment forced the liquidation of crowded short positions, driving prices higher relative to Bitcoin and other majors.