What to know:
- A crypto whale has taken a contrarian stance by raising a leveraged bearish bet on BTC worth millions on Hyperliquid, while betting bullish on the MELANIA token.
- A group of traders made a failed attempt to liquidate the giant BTC short.
Bitcoin (BTC) has stabilized since last Tuesday, rebounding to its 200-day average above $84,000 over the weekend. Despite this, a crypto whale has raised a massive bearish bet, amounting to over $445 million on Hyperliquid, alongside a bullish position on MELANIA token. The position has utilized a 40x leverage, garnering an unrealized profit of approximately $1.3 million, as per data from Hyperliquid and Lookonchain.
The outsized short aimed at capitalizing on a potential downturn in Bitcoin prices became a hot topic on social media platform X on Sunday as pseudonymous trader CBB rallied other market players to intervene.
“11 hours ago, @Cbb0fe publicly formed a team to hunt this whale who shorted $BTC with 40x leverage. Just one hour later, the team was in action, driving $BTC above $84,690 in a short period,” asserted blockchain analyst Lookonchain on X.
“The whale was forced to deposit $5M USDC to increase margin and avoid liquidation. However, the endeavor ultimately failed,” Lookonchain further mentioned.
At the moment, the crypto whale additionally holds a 5x leveraged long position in the MELANIA perpetual futures, expecting an increase in the memecoin’s price, associated with MKT World LLC, a firm owned by Melania Trump.
Hyperliquid celebrated this entire event, stating the transparency of trading positions has transformed trading standards, declaring:
“When a whale shorts $450M+ BTC and desires a public audience, it’s only feasible on Hyperliquid. The decentralized future is here.”
This platform has been recently highlighted in the media after a prominent whale executed a strategy termed ’liquidation arbitrage’ leading to a rapid margin shortfall, affecting the decentralized exchange’s health.
For further developments and details, visit CoinDesk.
