A large Bitcoin whale has opened a fresh $235 million short position. This shows that big investors are preparing for more turbulence in the crypto market.
The trader, who made headlines last week after earning around $200 million from Bitcoin’s drop to $100,000, appears to be betting again on further downside.
The new short was opened when Bitcoin traded near $111,190, according to blockchain tracking platform Hypurrscan. It carries 10x leverage, meaning the position is magnified tenfold.
At current prices, the trader faces about $2.6 million in unrealized losses, with liquidation possible if Bitcoin climbs above $112,368.
Whale Moves Millions as Bitcoin Price Struggles
Data from Arkham shows that the whale recently transferred $540 million worth of BTC to new wallets, including $220 million to Coinbase. He also sent $30 million to Hyperliquid, the platform where he placed the short position.
Hyperliquid whale opens yet another short | source: X
Blockchain records suggest this is the same investor who earlier rotated around $5 billion of Bitcoin into Ether. That move briefly made him one of the largest individual holders of ETH, holding even more than the corporate treasury of Sharplink.
Analyst Willy Woo noted in August that heavy selling from dormant whales had weighed on Bitcoin’s performance.
Now, newer large holders are also under pressure. CryptoQuant estimates that this group faces a collective unrealised loss of $6.95 billion after Bitcoin slipped below its average cost basis of $113,000.
Even so, several market watchers view the recent dip to $104,000 as a necessary reset after months of leveraged speculation. Glassnode reported that short-term holders are now taking up more of the market share, which shows a shift toward speculative trading once again.
‘Trump insider’ Bitcoin Whale Expands Short Position
Another Bitcoin whale, known in the community as the “Trump insider,” has also increased his bearish bets. Onchain data from Hyperbot shows that the trader raised his short position to 2,100 BTC, worth about $227 million, while Bitcoin hovered near $108,000.
The whale’s position currently carries a floating profit of around $5.8 million, even though the gain remains unrealised until the trade is closed. He has been active throughout the latest market pullback, transferring large amounts of Bitcoin to Binance and Hyperliquid to expand his exposure.
At one point, his total short exposure reached 3,440 BTC valued at $392 million. Traders now believe he expects Bitcoin to retest the $100,000 level or possibly fall below it.
This wallet gained its nickname after it reportedly earned $160 million by shorting Bitcoin right before US President Donald Trump announced sweeping tariffs on Chinese goods. That announcement triggered a global sell-off across equities and digital assets, cementing the whale’s reputation for perfectly timed trades.
Blockchain records link the address to an early “Bitcoin OG” cluster active since 2010. Historical data shows that the holder accumulated over 86,000 BTC during the early years of the network, making him one of the oldest surviving investors.
Market Jitters Rise as Whales Stay Bearish
The aggressive shorting has raised worries about further price weakness. After the October 10–11 crash that saw Bitcoin fall from above $125,000 to around $102,000, many leveraged traders were forced to liquidate positions.
CryptoQuant says that whales are currently under water | source: X
That sudden drop erased nearly $19 billion in open interest across major exchanges. Ethereum also plunged about 18% to $3,370 as traders fled from risky assets. While some analysts believe the correction was healthy, the bearish positions from these large wallets show that not everyone expects a quick rebound.
Funding rates on major exchanges have turned negative, indicating that traders are paying to maintain short positions. Rising volatility also shows uncertainty about whether Bitcoin can hold its current range.