Bitcoin News Today: Bitcoin Whale's High-Risk Short Bet Sparks Bearish vs. Bullish Divide

A prominent Bitcoin whale, holding over $11 billion in assets, has executed a high-leverage short position of $900 million against Bitcoin and Ether, betting on a near-term market correction. The whale initiated 8x leveraged short positions on Bitcoin and 12x leveraged short positions on Ether, with liquidation thresholds set at $133,760 for Bitcoin and $4,613 for Ether. According to blockchain data platforms Onchain Lens and Lookonchain, the whale's positions include a $600 million short on Bitcoin and a $300 million short on Ether, with unrealized profits of $2.6 million as of October 10, 2025. The whale's actions have sparked speculation about a potential decline in crypto prices following months of gains, though the positions carry significant risk if prices rise above the liquidation thresholds Cryptopolitan^[1]Cointelegraph^[2].

The whale's strategy aligns with broader market sentiment, as over 52% of Bitcoin holders across exchanges are currently short, while 51% of Ether traders have also adopted short positions. Analysts suggest the whale may be anticipating a correction post-Uptober optimism or attempting to influence smaller traders into selling. Willy Woo, an early Bitcoin adopter, noted that large-scale selling from dormant whales contributed to Bitcoin's August price stagnation. Meanwhile, blockchain data from CoinAnk indicates that 52% of BTC holders and 51% of ETH traders are betting on price declines, reflecting a bearish bias in the market Cryptopolitan^[1]Cointelegraph^[2].

Market conditions remain volatile, with Bitcoin's price fluctuating around $121,000 amid anticipation of a potential Federal Reserve rate cut in late October. Polymarket data assigns a 91% probability to a 25-basis-point rate cut, though a government shutdown has delayed key economic data releases. Ethereum ETFs also show mixed trends, with $8.54 million in net outflows on October 9, despite institutional inflows of $1.3 billion in early October Cryptopolitan^[1].

The whale's moves contrast with smaller wallet activity, where retail investors have sold 603 BTC (shrimp), 2,260 BTC (crabs), and 3,860 BTC (fish) in recent weeks. However, large-scale selling has not been the primary driver of Bitcoin's recent correction, according to CryptoQuant. The whale's actions, while high-risk, underscore the ongoing debate between bearish and bullish sentiment in the crypto market as traders navigate macroeconomic uncertainties Cointelegraph^[2].