BTC and ETH Whales Open Massive Shorts, Net $23.8M Profit
Two major crypto whales have opened massive short positions, signaling bearish sentiment for BTC and ETH. On July 8, a Bitcoin whale reopened its fourth $100 million+ BTC short, accumulating 1,097.47 BTC at an average entry of $107,926.60. Through position averaging, it secured $14.2 million in realized gains and now floats $1.605 million in profit, with a $116,510 liquidation price. The same day, an Ethereum whale placed a 50,000 ETH short at $2,725 with 10× leverage, boasting a 100% win rate and floating profits of $9.56 million. This whale previously netted over $20 million unrealized gains from a 40,000 ETH short at $2,200 in mid-June. These large BTC and ETH short positions by whales highlight strategic risk management and may foreshadow near-term downward corrections. Traders should track whale shorts as key indicators of market direction.
Bearish
Large-scale short positions by prominent Bitcoin and Ethereum whales indicate strong bearish sentiment among institutional traders. The Bitcoin whale’s fourth $100 million+ BTC short, coupled with substantial realized and floating profits, demonstrates confidence in further downside. Similarly, the Ethereum whale’s 50,000 ETH short at 10× leverage and prior successful trades underscores expectations of further ETH price declines. Historically, whale shorting often precedes downward corrections as they capitalize on market downturns. In the short term, such actions may increase selling pressure and volatility, potentially driving prices lower. Over the longer term, sustained whale bearish bets could set resistance levels, discouraging bullish momentum until on-chain or macro catalysts emerge. Traders should monitor leverage levels and liquidation thresholds to gauge risk and potential cascade events.