The price of Ethereum (ETH) has been dropping, putting a large decentralized finance (DeFi) loan at risk of being liquidated. The borrower took out a $74 million loan in DAI stablecoin by using 65,680 ETH as collateral. However, with ETH's price falling almost 10% to $1,820, the loan's liquidation level of $1,900 has been breached. To avoid liquidation, the borrower withdrew 2,000 ETH from Bitfinex and deposited it into the loan's collateral vault. Despite this, there are still other DeFi loans in danger, with a total of $13.6 million at a liquidation level of $1,857 ETH and $117 million at $1,780 ETH. If ETH falls another 20%, there could be up to $366 million of debt to be liquidated. Liquidations in DeFi can have a significant impact on the price of the collateral asset due to increased selling pressure.



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