Crypto investment firm Abraxas Capital is under pressure after opening nearly $800 million in leveraged short positions on Hyperliquid, most of which have moved deep into the red.
The largest exposure lies in Bitcoin and Ethereum shorts, where the firm is down over $94 million combined. Its $344 million BTC short, placed at 10x leverage, is currently nursing a $21.5 million loss. The situation is more severe with ETH, where a $298 million position has racked up a staggering $72.6 million in unrealized losses.
Other high-leverage shorts, including $69 million in Solana and $82.5 million in HYPE, have also underperformed. However, Abraxas saw a small win on its $2.6 million SUI trade, which is currently up $178,000.
Despite the mounting losses, the firm is far from liquidation. The BTC short won’t be liquidated unless the price hits $161,605, while ETH’s liquidation threshold is at $5,342—both well above current market prices.
Abraxas’ strategy reflects a high-risk, high-leverage approach that’s clearly being tested in the current bullish environment.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/crypto-company-faces-106m-in-unrealized-losses-after-aggressive-short-positions/