According to @EricBalchunas, Defiance has filed for a 2x leveraged ETF linked to XOVR, shared via his Jan 13, 2026 post that includes an image of the filing, source: @EricBalchunas on X, Jan 13, 2026. A 2x leveraged ETF targets roughly twice the daily return of its reference and is generally designed for short-term trading, highlighting amplified intraday gains and losses for traders, source: U.S. SEC Investor Bulletin on Leveraged and Inverse ETFs.

According to Cas Abbé, CME Ethereum leveraged funds have reached a record short level. This indicates a significant bearish sentiment among institutional traders, potentially impacting Ethereum's price negatively in the short term. Traders should monitor market reactions closely, as large short positions can lead to increased volatility. Source: Cas Abbé on Twitter.