Crypto Whale Shorts $450 Million in Bitcoin, Then Buys Meme Coin ELON

An anonymous trader on the Hyperliquid exchange made over $3 million in profit by shorting a large amount of Bitcoin, then going on to buy meme coin ELON.

The whale opened over 250 short positions worth around $450 million, betting on a short-term drop in Bitcoin prices. The trade was executed with 35x leverage, making the actual value of the position over $450 million. If Bitcoin prices increased by just 1.8% from the opening price, the whale would be completely liquidated.

However, after a volatile day in the market, with Bitcoin prices hovering around $79,500, the whale closed all of his positions in less than 3 minutes, netting a profit of around $3.2 million.

Analysts at blockchain firm Bubblemaps said the initial margin the whale needed to open the position was around $10.5 million, while the short trades helped the trader earn a significant profit in a short period of time.

After closing the position, the whale continued to invest in meme coin ELON, a cryptocurrency inspired by billionaire Elon Musk. In total, the whale put $1.8 million into this coin with 7x leverage. This trade is highly risky, because if the price of ELON drops by just 8%, the whale's position will be liquidated.

Observers believe that the whale may have taken advantage of market volatility to make a quick profit, and although trading with high leverage can bring big profits, it also has many potential risks.

As of now, this whale has earned a total of more than $8 million in less than a month since starting trading.