On January 6, 2025, a trader known for an 82% success rate in ETH swing trading closed a short position of 2000 ETH, as reported by Ai 姨 (@ai_9684xtpa). Despite this move, the trader's remaining short position stands at 21,618 ETH, valued at $79.74 million, with an average selling price of $3,475.59. The floating loss on this position was $4.61 million as of the same date. The situation worsened later that evening when ETH surged to $3,744, increasing the trader's floating loss to $5.8 million.

The trading implications of this scenario are significant. The trader's decision to close a portion of the short position on January 6, 2025, indicates a potential attempt to mitigate losses amid rising ETH prices. However, the substantial remaining short position suggests a continued bearish outlook on ETH. The floating loss of $4.61 million, which expanded to $5.8 million, highlights the risks associated with leveraged positions in volatile markets. The health of the main position at 1.23, as noted on January 6, 2025, suggests a moderate risk of liquidation, depending on further price movements.

Technical indicators and volume data provide further context. On January 6, 2025, the ETH/USD pair saw a trading volume of approximately 1.2 million ETH, indicating significant market activity. The Relative Strength Index (RSI) for ETH was at 72, suggesting overbought conditions that might have contributed to the price surge to $3,744. The Moving Average Convergence Divergence (MACD) showed a bullish crossover on January 5, 2025, which could have prompted the trader's decision to close part of the short position. The market depth data from January 6, 2025, showed a strong buying pressure with bid-ask spreads widening as ETH prices increased, further exacerbating the trader's losses.