Abraxas Capital shorts $783M ETH, buys $173M hedge as Ethereum targets $2.8K

Ethereum [ETH] was trading around $2452 at press time, up 2.69% on daily charts, extending its 29% weekly gains. Since rising to $2546, Ethereum has cooled down, and the trend seems to be consolidating again. The altcoin has  hovered between $2.4k and $2.5k. 

Amid this market shift, both individuals and institutions have strategically positioned themselves, while others have cashed out.

Abraxas Capital adds $173 million worth of ETH

Abraxas Capital has been aggressively shorting the market. Although the price skyrocketed recently, the entity seems to be expecting another pullback.

As a result, the firm has built $783 million in short positions on Hyperliquid. However, understanding the risk with such elevated leverage, it has turned to hedging on the Spot.

According to Lookonchain, Abraxas Capital purchased 73,872 ETH worth $173.17 million from Binance over the past four days. 

The move indicated sophisticated risk management, hoping one side could absorb risk from another. Often spot buys of such magnitude raise demand, which in turn absorbs the arising market pressure. 

Why is Ethereum still under pressure?

Interestingly, as the market rebounded, holders who have been underwater have increased spending significantly.

On Binance, for example, the netflow has remained positive for five consecutive days. Exchange Netflow across all exchanges also remained positive for two consecutive days, currently around 2.3k.

A sustained positive netflow suggests that traders have been mostly selling. Often such market behavior has weakened the market structure and led to poor price actions.

The continued rising exchange inflows have significantly increased the supply available for immediate selling. In fact, Exchange Supply Ratio on Binance climbed to a monthly high of 0.0328.

The rising ESR confirms that more traders are now selling more ETH than those buying. Under such circumstances, Ethereum remains stretched. 

What’s next for ETH?

While sellers remain active on exchanges, it seems their pressure is not strong. The demand from major buyers such as Abraxas Capital is absorbing the pressure, leaving the market at a state of equilibrium.

The tensions between ETH bulls and bears explain the recent sideways movement. Besides that, the market structure leans bullish, with the uptrend still strong.

The MACD holds within an upward trajectory, hitting levels last seen in August 2025. At 149, MACD suggest a strong bullish momentum.

The ADX Trend indicator confirms this trend momentum, with +DI around 12 while the D- was at -22, leaving a contraction/expansion of 35.

These indicators suggest Ethereum is likely to breach the current range and target $2.8k. However, if selling persists, ETH could fail to hold $2.4k and fall to $2.2k.

Final Summary

• Abraxas Capital purchased 73,872 ETH worth $173.17 million from Binance over the past 4 days. 
• Ethereum is experiencing strong pressure, but the trend leans bullish and is likely to continue, with $2.8k as the next target.