Bitcoin News Today: Hyperliquid's BTC Short Walks a Tightrope: $17M Gains Loom Over $111K Liquidation Line

Hyperliquid's largest Bitcoin short position has surged to over $17 million in unrealized profits, with traders setting take-profit orders in the $89,000 to $91,000 range amid a volatile market. The position, linked to a 1.23K BTC short valued at $131 million, faces liquidation if Bitcoin breaches $111,770, according to analytics from CoinGlass. The trader, using 20x leverage, holds a 4.86% gain from an average entry price of $111,499.30, with Bitcoin currently trading at $106,443 as of Nov. 10 according to market data.

The broader crypto market has seen $343.89 million in 24-hour liquidations, with 74.7% attributed to short positions. This trend reflects sustained upward pressure on Bitcoin, which has rallied above $106,000 after six days of ETF outflows. Institutional demand has returned, with US-listed BTC spot ETFs recording $240 million in inflows on Thursday, pushing cumulative assets to $135.43 billion.

Hyperliquid's whale activity extends beyond Bitcoin. The platform's largest positions total $5.336 billion, with short positions accounting for 55.36% of the total and generating $175 million in unrealized profits. Notably, a whale address 0x5b5d..60 holds a 10x ETH short at $3,533.78, yielding $5.0451 million in gains. Meanwhile, a $34.74 million BTC short opened by another trader carries a liquidation risk if Bitcoin surges past $193,007.90.

However, Hyperliquid has faced scrutiny over liquidity risks. A recent $30 million manipulation incident involving the memecoin POPCAT triggered a 43% price drop and $63 million in liquidations. An unknown trader withdrew $3 million in USDC from OKX, distributed it across 19 wallets, and created an artificial buy wall at $0.21 before collapsing the market. Hyperliquid's liquidity pool (HLP) absorbed $4.9 million in losses, raising concerns about systemic risk management.

The platform's challenges highlight the precarious balance between innovation and stability in decentralized derivatives. While November historically favors Bitcoin with an average 42% return, the current bearish sentiment-exacerbated by long-term holder selling has pushed BTC below $101,000. Traders remain cautious as technical indicators show 15 buy signals versus one sell signal, with the RSI at 66, suggesting neutral-to-bullish momentum.