Whale's Position Structure and Market Shifts
According to monitoring data, a whale currently holds BTC long positions worth around $24.8 million, with floating losses of about $1.01 million. At the same time, it maintains short positions in various altcoins totaling approximately $26.4 million, covering 8 cryptocurrencies including ETH, XRP, and ADA, all of which have fallen into losses today.
Hedging Strategy Under Pressure
This position setup was originally a hedging strategy aimed at capitalizing on BTC's relative resilience compared to altcoins during market downturns. However, today's market rebound saw BTC rise by approximately 4.4%, while most altcoins surged even more: ETH by 8.3%, XRP by 5.9%, and ADA by 10.7%.
Expanding Losses on Both Sides
As altcoins 'recovered' much faster than BTC, its hedging strategy is now facing asymmetric losses. The whale's high-leverage long and short positions are under pressure simultaneously, causing total losses to widen, with over $600,000 in withdrawals recorded in a single day. If the market continues to rebound and altcoins outperform BTC further, the whale's losses could increase even more.
Historical Trading Review
- Opened large short positions on the launch day of a certain project, resulting in significant fund withdrawals
- Exited short positions and cut losses during the October 11 market crash
- Subsequently frequently used 40x leverage for short trades
- Recently attempted to generate stable returns through high-leverage hedging during market consolidation