On-Chain Whale Struggles with Gold Short Position
On January 20, Hyperinsight's on-chain monitoring revealed that a trader widely known as the 'largest bear on digital gold' is facing significant paper losses. The trader opened a 5x leveraged short position on approximately 2,989.3 PAXG tokens—worth nearly $14.02 million—averaging $4,533 per token. As PAXG prices rebound, the position has incurred a floating loss of around $477,000 per token.
Profit Amid Losses: A High-Stakes Balancing Act
Despite the setback in gold-linked assets, the trader’s overall portfolio remains in the green. Aggressive short positions on Bitcoin and a diversified basket of major altcoins have generated a net floating profit of $1.245 million.
- Strategy: Cross-market leveraged positioning with built-in hedges
- Exposure: Focused on inflation-resistant assets and tech-driven cryptos
- Implication: Signals caution among sophisticated players amid market volatility
This hybrid approach suggests a nuanced market outlook—less about outright pessimism, more about exploiting short-term dislocations. The address continues to draw close scrutiny from on-chain analytics circles.