Whale Doubles Down as Bitcoin Slumps: $200M in Shorts Accumulated
In the early hours today, amid a broad dip in Bitcoin’s price, a well-known on-chain trader made a bold move—aggressively increasing their short positions. Data reveals they added 510 BTC (nearly $47.3M) to their bearish bets, pushing their total short exposure to a staggering $200 million.
Short Positions Hover Near Liquidation Threshold
The scale of leverage employed is alarming. The BTC short is now within just $1,600 of its liquidation price, leaving minimal room for error. A sustained upward move could trigger cascading sell-offs. Similarly, the ETH short position is dangerously close to the edge, with only $56 of margin before automatic liquidation.
- BTC Shorts: 1,073 BTC (~$100M), opened at $92,469, liquidation at $94,384, currently down $280K
- ETH Shorts: 31,093 ETH (~$100M), opened at $3,270, liquidation at $3,246, currently up $2.49M
Interestingly, while the BTC leg is in the red, the ETH side is generating strong profits due to weaker performance in the altcoin market. This dual-position strategy suggests a calculated bet on asset divergence. Still, such high-risk plays are perilous in volatile crypto markets—any reversal could spell disaster.
Market sentiment remains fragile. With bulls and bears locked in a tense standoff, this trader’s next move could act as a catalyst for broader volatility. Traders are advised to remain cautious and avoid mimicking leveraged positions without proper risk controls.