Trader Makes Millions Betting on Ethereum’s Decline
A leveraged short position on Ethereum earned a trader nearly $84 million in unrealized profit.
A trader operating under the pseudonym ETHMegaBear has generated approximately $84 million in unrealized profit by betting on a decline in Ethereum’s price. The trades were executed on Hyperliquid, a decentralized perpetual futures exchange. The data was analyzed and reported by the on-chain analytics platform Lookonchain.
The trader’s gains surged during a sharp downturn in the cryptocurrency market. Ethereum’s price fell from above $2,900 to around $2,800, while Bitcoin dropped below $85,000 for the first time since December of last year. This sudden market movement triggered the liquidation of leveraged positions worth roughly $360 million within a single hour.
The sell-off was not limited to cryptocurrencies. Declines were also observed across traditional financial markets, including stocks, technology companies, and even gold.
It is important to note, however, that trading with leverage involves extremely high risk and can lead to rapid and substantial losses, especially during periods of heightened market volatility.
