A major whale's aggressive bet against the crypto market has backfired. Chain data reveals that an address (0x218A...7Da2) opened 10x leveraged short positions on Bitcoin (BTC) and Ethereum (ETH), now facing unrealized losses exceeding $6.37 million amid a market rebound.
The Peril of High Leverage
The trader entered the short bet at elevated price levels, anticipating a sharp downturn. Instead, both BTC and ETH rebounded strongly, turning the position deeply underwater in a short span.
To avoid liquidation, the address deposited 4.8 million USDC as additional collateral. This move signals continued bearish conviction, but also highlights the fragility of leveraged positions in volatile markets.
- Leverage: 10x
- Short Targets: BTC, ETH
- Unrealized Loss: Over $6.37M
- Collateral Added: 4.8M USDC
The event has sparked debate across trading communities, with experts warning that excessive leverage can lead to swift losses, especially during unpredictable market swings.