As Bitcoin slid below the $91,000 mark, a well-known long-term whale investor has once again entered a deep unrealized loss phase. On-chain analytics reveal the address is now sitting on a staggering $7.26 million in paper losses, wiping out previous gains amid sharp market correction.
Leveraged Bets Backfire Amid Volatility
The trader maintains a highly leveraged portfolio across major crypto assets, with current positions showing:
- BTC Long (5x leverage): $7.47M loss
- ETH Long (5x leverage): $540K loss
- SOL Long (10x leverage): $760K profit
While the high-risk Solana bet remains profitable, steep declines in BTC and ETH have overwhelmed the overall balance, exposing the danger of over-concentration in volatile markets.
Funding Rates Erode Returns
Critically, the account has paid nearly $7.94 million in cumulative funding fees—a cost nearly matching its current unrealized loss. Throughout the bull run, persistently positive funding rates forced longs to continuously pay shorts, creating a silent but severe drag on returns.
This shift back into loss highlights a key reality: even for seasoned whales, sustained leverage exposure can lead to massive pressure when market momentum shifts—even if the long-term thesis remains intact.