The alert came as Ether slid to $2,569.19, down 4.64% over 24 hours, narrowing the gap between spot price and the reported liquidation threshold. For related coverage, see Tom Lee: Bitmine to Halt ETH Purchases at 5% of Supply.
A $99.8 Million Bet That Needs ETH to Hold
Machi Big Brother, a well-known crypto figure and investor, reportedly holds a long position of 39,025 ETH worth $99.8 million, according to Lookonchain. A long position is a leveraged bet that an asset’s price will rise; if the price falls far enough instead, the position gets forcibly closed by the lending platform or exchange, wiping out the collateral. For related coverage, see 833.6 BTC to Coinbase Prime as 40,285 BNB Moves.
Lookonchain posted the warning directly on X, pinpointing a liquidation price of $2,501.38. At ETH’s current spot price that puts the position just $67.81, or roughly 2.64%, above the point of no return. For related coverage, see Russia Approves Sberbank Crypto Custody for Bitcoin, Ethereum and USDT.
As the market drops, Machi(@machibigbrother)'s 39,025 $ETH ($99.8M) long is close to liquidation, with a liquidation price of $2,501.38.https://t.co/v6CcvnnYzG pic.twitter.com/KYt57XRnHd
— Lookonchain (@lookonchain) October 7, 2026
Source: @lookonchain on X
It is worth noting that Lookonchain’s report describes the position as close to liquidation, not confirmed liquidated. According to this single source, the trade remains open, but the margin for error is razor thin.
Why a Falling Market Turns Up the Heat
When ETH drops, a leveraged long loses collateral value fast. The larger the position, the more dramatic the exposure. A further move below $2,501.38 would, according to the Lookonchain report, trigger an automatic liquidation of the entire $99.8 million stake.
This is not Machi’s first high-stakes ETH play. The trader previously built crypto long positions totaling $131 million during an earlier market rally, making the current drawdown a sharp reversal of fortune.
Wider derivatives market liquidation data shows that large leveraged positions across crypto have faced mounting pressure during this selloff, with ETH longs among the most exposed given the asset’s outsized decline.
The Crypto Fear and Greed Index sat at 71, classified as Greed, at the time of the snapshot, a reminder that sentiment can shift violently even when the broader mood appears confident. Ethereum’s market cap stood at roughly $313.7 billion with 24-hour trading volume near $18.7 billion, reflecting the scale of activity during the selloff.
Forced liquidations of positions this size can ripple outward. Large sell orders dumped onto the market by automated liquidation engines add selling pressure, which can push prices lower still and threaten other leveraged longs in a chain reaction. The mechanics are well documented in past ETH drawdowns, including the MakerDAO liquidation keeper bot exploit that highlighted how automated systems interact with cascading market stress.
Can Machi add collateral in time, or will $2,501.38 become the number that defines one of crypto’s biggest forced exits of the year?
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.
