Bitcoin News Today: Leveraged Whales' Bearish Gambit: $1B Short Positions Threaten Market Stability

A prominent Bitcoin whale has initiated a significant short position against Bitcoin and Ether, signaling bearish market expectations amid recent price peaks. The investor, identified by blockchain data platforms, opened a $600 million 8x leveraged short on Bitcoin and a leveraged short exceeding $300 million on Ether, according to Onchain Lens. The Bitcoin short carries a liquidation threshold at $133,760, while the Ether position, valued at $330 million with 12x leverage, risks closure at $4,613 per ETH, with an unrealized profit of $2.6 million reported as of Friday Cointelegraph^[1].

Simultaneously, another whale executed a $420 million short on Bitcoin via Hyperliquid, utilizing $80 million in USDC margin and 5x leverage. The position, with a liquidation price of $140,660, is currently showing a $660,000 profit. The whale also transferred $50 million to Binance, suggesting hedging or parallel shorting strategies. This activity coincided with Bitcoin's recent all-time high of $126,198, after which the price retreated below $120,000 The Crypto Times^[2].

Further reinforcing bearish sentiment, a "Bitcoin OG" whale-recognized for long-term market participation-opened a $438 million short on Hyperliquid during overnight trading, as Bitcoin's price dipped below $120,000. The position's liquidation price is set at $139,900. This whale had previously sold 3,000 BTC in the spot market and diversified into Ether by offloading 35,991 BTC a month earlier Coindesk^[3].

Market data indicates a growing prevalence of short positions. Over 52% of Bitcoin holders across exchanges are currently short, while 51% of Ether traders have adopted bearish stances, according to CoinAnk. Analysts attribute recent selling pressure to smaller investor cohorts rather than whale activity, though large-scale whale actions could amplify market volatility.

The coordinated shorting strategies highlight the influence of institutional and high-net-worth actors in shaping cryptocurrency price dynamics. Regulatory scrutiny may intensify as leveraged positions grow, particularly if market corrections trigger forced liquidations.