Crypto analysts are sounding alarms after a newly created trading account pulled off what appears to be one of the most perfectly timed and profitable Bitcoin shorts in recent memory – earning an estimated $192 million in less than two hours.
The trade occurred just minutes before U.S. President Donald Trump announced a 100% tariff on Chinese imports, a move that triggered an immediate and violent crash across global markets. On-chain data shows that the trader opened a massive short position roughly 30 minutes before the announcement, betting that Bitcoin’s price would plummet – and it did.
According to blockchain records linked to the Hyperliquid decentralized derivatives exchange, the account was created only hours before placing the trade. Once the tariff news broke, Bitcoin collapsed, dragging the entire crypto market into chaos. More than $19 billion in leveraged positions were liquidated within a single day, erasing over $400 billion in total market capitalization.
As Bitcoin briefly threatened to lose support at $110,000, the mysterious trader’s position exploded in value. Profits reportedly climbed from $40 million to over $104 million within hours, eventually reaching a realized gain of nearly $88.5 million in just 24 hours.
What has raised eyebrows further is the trader’s immediate attempt to move profits off-chain. Transaction logs show several rapid USDC transfers of $9.99 million each, suggesting an effort to fragment and conceal the massive payout.
The precision of the timing – combined with the account’s sudden creation and the scale of profits – has fueled speculation of insider knowledge. Some observers argue it’s impossible to place such a trade without prior awareness of Trump’s market-moving announcement.
Regulators have not yet commented on the situation, but discussions are already circulating in crypto forums and on social media about whether this could mark the first major insider trading scandal in decentralized markets.
If proven, the case could spark a global debate about surveillance, transparency, and how blockchain-based exchanges handle politically sensitive trades in real time.
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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.