Short positions on Ethereum on the Bitfinex exchange have reached their highest point in 51 months. Data indicates that the volume of short bets has climbed to approximately 73 056 ETH.
The surge in bearish positions occurred despite a recovery in the price of ETH. The asset rose by about 86% from its mid-year low of $1 506 to trade at approximately $2 670.
Over the past week, the number of short positions increased by more than 53 800 ETH, representing a weekly growth of roughly 280%. The total value of these short bets is estimated at nearly $195 million.
Market analysts note that Bitfinex margin data is often used by institutional investors and large traders. These participants may be using short positions either to hedge existing spot holdings or to bet on a potential market correction.
