Andrew Kang Takes $78M in ETH & BTC Shorts
On October 19, on-chain analyst Ai Yi observed that addresses linked to whale trader Andrew Kang initiated a second bearish pivot within three days, opening high-leverage short positions on Ethereum and Bitcoin. The wallets now hold approximately $78M in short exposure—$46.9M in ETH shorts and $31.1M in BTC shorts—using up to 25x and 40x leverage, respectively. These positions currently carry a combined unrealised loss of $1M, while their ENA long positions sit on a $3M profit. Over the past week, Kang’s account has netted $5.6M in gains. Such sizable leveraged shorts can heighten volatility and downward pressure: funding rate spikes, forced liquidations or position adjustments may trigger sharp price swings. Traders should monitor on-chain whale activity, funding rates and liquidation levels to anticipate potential market moves. Monitoring ETH shorts and BTC shorts volumes and funding rates can give traders early warning of impending market shifts.
Bearish
Andrew Kang’s substantial increase in ETH shorts and BTC shorts signals strong bearish conviction and adds significant selling pressure to both markets. The use of high leverage (up to 40x) elevates the risk of forced liquidations, which could trigger sharp price declines if funding rates spike. In the short term, these large positions may amplify sell-offs as margin requirements tighten. Over the longer term, while market adjustments and profit-taking by other traders might offer temporary relief, the prevailing bearish sentiment and on-chain indicators point to continued downside risks. Traders should prepare for increased volatility and potential downward swings in ETH and BTC prices.