Key Takeaways:
- A major Ethereum whale lost 67,570 ETH (~$106M) in a forced liquidation on Sky after ETH’s 14% price drop.
- ETH’s plunge to ~$1,547 triggered widespread DeFi liquidations, with over 320,000 traders losing nearly $1B collectively.
- Market reaction stems from U.S. tariff announcements, pushing Ethereum to its lowest level since October 2023.
A major Ethereum investor, often referred to as a “whale,” was liquidated for approximately $106 million on the DeFi platform Sky after Ethereum’s price dropped sharply by over 14% on April 6.
The whale lost 67,570 ETH when the value of their collateral fell below Sky’s required 150% ratio for overcollateralized loans.
If you are having a bad day, just know that…
— Wise Advice (@wiseadvicesumit) April 7, 2025
An ETH whale position got liquidated on Maker and lost 67,570 $ETH worth $106 million today.
The #crypto market is now brutal for everyone 🥲 pic.twitter.com/E8rp3nyG44
Sky, formerly known as Maker, allows users to borrow the stablecoin DAI by locking up ETH.
When the ETH price fell, the whale’s collateral ratio dipped to 144%, triggering an automatic liquidation.
Sky auctioned off the ETH to repay the debt, including fees, and returned any excess collateral to the borrower.
Another large investor narrowly avoided liquidation after placing 56,995 wrapped ETH—worth about $91 million—as collateral.
This market turmoil followed U.S. President Donald Trump’s announcement of new tariffs, which triggered a broad sell-off across global markets.
ETH prices have now fallen to levels not seen since October 2023 and remain down 68% from their all-time high.
Over 320,000 traders were liquidated in the past 24 hours, with total losses nearing $1 billion.
Ethereum-related positions made up a significant portion of these liquidations, and further forced sell-offs could occur if prices continue to slide and borrowers fail to top up collateral.
About The Author
Adam Morris, the co-founder of Crypto Head and a respected crypto expert, offers insightful commentary and analysis on cryptocurrency, NFTs, and the evolving digital landscape.
His extensive experience and features in top-tier publications like Forbes and CNN underscore his deep understanding of the crypto world and its future potential.
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