Analysts speculate that whales have set a small 40 million -dollar short 40x leverage position for a hyper clicade as a trap for a large length.
On March 16, Bitcoin (BTC) Whale is one of the most known transactions in the distributed exchange by deploying a short position of $ 550 million in hyperclicade (hypertrophy) using a 40x leverage.
The liquidation price is $ 85,561, and if Bitcoin rises 1.75% from $ 83,898, the transaction will be erased. This attracted the attention of merchants who saw the opportunity to immediately forced liquidation.
A clear merchant, CBB0FE, took X to collect the group, raising the price of Bitcoin and starting liquidation. In the same day, the price increased by 2.5%, which had a almost impact on the threshold of the whale before adding more funds to raise the liquidation price.
According to a report on the March 17 of the 10X Research, the analyst, Markus Thielen, pointed out that this event is part of the trend of democratization of stop loss hunting. In this trend, independent traders, as well as institutions, are adjusted to move the market because of the transparency of leverage transactions on Dex.
However, some analysts believe that the huge position of the whale may be a calculated strategy rather than a short mistake in carelessly. According to JOSH Man, a cryptocurrency analyst, whales will intentionally expose their stance on liquidation to support price rally, a rare tactic known as “self-liquid.”
If the whale has a longer location in another place, their short liquidation can send a higher Bitcoin to help a long location.
This is not the first time Hyper Fleaker has seen such a high steak play. Last week, the trader bets $ 285 million in Leverage Etherrium (ETH) and lost $ 4 million on the platform. The event for this reduced the leverage limitations of Bitcoin and Ether Leeum.
The Crypto community is now seeing Bitcoin’s price movement. If the short position of the whale is cleared, the upward propulsion can be further promoted. In any case, independent traders and whales are currently participating in dangerous games of high -risk competitions.