- •Whale opened a $250M short position on Bitcoin
- •The trade is now facing a $22M unrealized loss
- •Bitcoin price surge puts heavy pressure on large shorts
In a high-stakes move, a crypto whale recently opened a $250 million short position against Bitcoin, betting the price would drop. However, the market had other plans. As Bitcoin’s price has climbed in recent days, that massive short has turned into a costly gamble. The position now sits with an unrealized loss of $22 million.
This whale used 20x leverage to amplify their bet, meaning even a small price move in the wrong direction results in massive gains or losses. At current market levels, the loss is deepening, and the whale risks getting liquidated if Bitcoin’s upward momentum continues.
Market Momentum Triggers Pain
Bitcoin has shown strength lately, driven by renewed bullish sentiment, institutional inflows, and broader crypto market recovery. For traders betting against BTC, especially with high leverage, this rally has been painful.
While we don’t know the identity of the whale, large shorts like this often belong to hedge funds, high‑net‑worth individuals, or institutional players. Their trades can influence market behavior — and when they begin to unravel, they can spark short squeezes that push prices even higher.
What This Means for the Market
A large losing short position like this can serve as a signal. It shows how volatile and risky leveraged crypto trading can be — even for experienced market participants. It also reminds the crypto community that whales don’t always win.
If the whale chooses to close the position, it could add further upward pressure on Bitcoin, possibly leading to another rally. On the flip side, if they hold, they’re betting big that Bitcoin will reverse its trend soon.