Whale Qwatio Loses $16 Million, Doubles Down on BTC, ETH Shorts

A high-leverage whale, identified as Qwatio, has incurred significant losses amounting to over $16 million following a series of ten partial liquidations. Despite these substantial setbacks, the whale has chosen to escalate its short positions in both Bitcoin (BTC) and Ethereum (ETH), further increasing its capital commitment as margin pressures intensify.

The whale has allocated more than $55.8 million into Bitcoin shorts with a leverage of 40x, exposing itself to the risk of rapid liquidation. The entry point for the BTC short position is at $107,770, with the liquidation threshold just above $109,211. The current market price of $107,518 places the trade in a precarious position, dangerously close to forced closure. Although there are brief unrealized gains of $147,305.81 on BTC, the position remains highly risky.

In contrast, the whale's ETH short position, entered at $2,452 with 25x leverage, has turned negative. The current price sits below the liquidation mark at $2,687, resulting in an unrealized loss exceeding $149,000. This indicates that the whale's strategy is under significant strain, with both BTC and ETH positions facing substantial risks.

The whale's trading history reveals an aggressive scaling of short orders between $107,140 and $107,950, with positions reaching sizes over 1,400 BTC each. The trade log shows the constant execution of short entries across multiple timestamps and price levels. Several market order liquidations have already been triggered, including a massive closure of 226 BTC at $109,589, which carried a value of $24.3 million and pushed the cumulative losses further.

The data confirms multiple short positions being forcibly closed in the $108,201 to $109,589 zone. These forced exits reflect the elevated risk associated with the whale's strategy as volatility causes prices to whipsaw near liquidation zones. The portfolio dashboard reveals a total combined loss of $14.4 million, with equity now down to $1.84 million. The whale's direction bias is 100% short, with no long exposure and extreme leverage stretching margin usage to 98.98%.

Funding costs are piling up, with the whale paying $220,078.97 to maintain the BTC position and another $69,931.63 for ETH. This confirms the depth of the commitment despite mounting losses and persistent margin strain. The red equity curve spanning January to July illustrates prolonged drawdowns, signaling continuous capital bleed. Yet, the whale has not exited; instead, it has reinforced its positions under pressure.

While short-term volatility may offer a chance for recovery, the scale of exposure and liquidation proximity create a narrow survival window. The whale's aggressive strategy and high leverage pose significant risks, and the outcome remains uncertain as market conditions continue to evolve.