Gate on-chain observation ( on October 14, ): BTC whales short order suppress the market; hackers have heavy positions in SOL and ETH; Tether issues an additional 1 billion USDT.

In the past 24 hours, the on-chain flow of funds in the crypto market has been intense, with BTC and ETH becoming the main focus of capital plays. Institutions and whales are continuously adjusting their positions, with some leading accounts using high leverage short orders to hedge against market downside risks, while another group of funds is building positions against the trend after the black swan pullback to profit from rebounds.

Mainstream tokens such as AAVE, ASTER, and SOL frequently see large withdrawals and bottom-fishing operations, hacker funds are once again active, and Tether's minting actions suggest an increase in stablecoin demand. Overall, the market is in a phase of high volatility and high leverage resonance, with a clear divergence in sentiment.

The following are key on-chain developments from October 13 to October 14:

BTC Market Dynamics

· Matrixport associated wallet withdrew 4,000 BTC ($454 million) from CEX.

· The "BTC OG Whale" address (0xb317D) holds 4,394.7 BTC short order positions on Hyperliquid, totaling approximately 498 million USD, with a leverage of 10 times and a margin utilization rate of 83.22%. This whale has made a floating profit of over 9 million USD in the past 30 days, has built a position multiple times in the short term, and the total net worth of the account has reached 60 million USD.

· Arkham data shows that the Whale associated with the addresses (0x2eA), (0xb31), and (0x4f9) accurately built a short order around 10 days ago, profiting over 160 million USD during the crash, and currently still holds about 386 million USD in USDC ammunition.

· Other short order forces have also significantly strengthened:

• Address 0x9eec9 holds a short order position of $98 million, covering DOGE, ETH, PEPE, XRP, ASTER;

• Address 0x9263 holds a $84 million short order, focusing on positioning in SOL and BTC;

• The BTC long-short ratio is tending towards balance in the short term, but overall it still leans towards bearish.

· Mining company MARA Holdings has increased its holdings by another 200 BTC (23.03 million USD) through FalconX, bringing its total holdings to over 53,000 BTC (6.1 billion USD), indicating that industrial capital continues to have a bullish outlook on the medium to long-term trend.

Analysis: The BTC market currently has a high concentration of short orders, with institutions and Whale accounts forming a phase of pressure due to high leverage short orders, limiting the short-term rebound space. However, the increase in holdings by mining companies and the sustained long-term positions indicate that there is still structural support in the medium to long term.

ETH Market Dynamics

· Hackers who stole funds from CEX users bought 9,240 ETH (39.45 million USD) at an average price of 4,269 USD, which is about 13% lower than the previous selling price of 3,764 USD, netting a profit of 280 ETH.

· James Wynn completed high-frequency trading at an ETH volatility: built a position with a short order at $3,807 and precisely closed it at $4,120, locking in profits before reversing to build a position in ZEC long order, with the strategy shifting to a defensive one.

· 1kx Fund co-founder Christopher Heymann's associated address (0x286f) holds 1 million ENA long orders, with an opening price of 0.41 USD, floating profit exceeding 330,000 USD, marking its first doubled position after liquidation.

· ETH segment funds remain active, with arbitrage and rebound orders intertwined, and institutions are cautious about spot positions.

Analysis: ETH has shown obvious high-frequency swing trading characteristics on-chain, with some Whales reducing risk exposure through long and short reverse operations. Institutional funds are mainly in a wait-and-see mode in the short term, but some funds are gradually Building a Position at low levels.

SOL Market Dynamics

· Hackers continued to buy 111,323 SOL (23.23 million USD) 3 hours ago, accumulating a total of 212,000 SOL (46.18 million USD) at an average price of 217.6 USD.

· The source of funds is the full purchase on the Solana chain after cross-chain exchange of DAI to USDC.

· WhaleStats data shows that multiple mid to high net worth wallets are positioning in the spot market around the $200 range for SOL, with some already in profit.

Analysis: SOL has become a new focal point for hackers and some speculative funds, with short-term bottom-fishing demand being evident. If on-chain liquidity continues to recover, SOL may establish mid-term support around 200 dollars, but the source of large funds still carries risks.

DeFi and Other Token Dynamics

· AAVE on-chain large transfer: 210,000 AAVE ($51.32 million) flowed from multiple exchanges to the Galaxy Digital OTC wallet, and then transferred to a Multicoin Capital affiliated address, indicating institutional accumulation intent.

· EOS founder Daniel Larimer has deposited another 6.79 million ASTER (9.72 million USD) into the CEX, bringing the total deposits to 31.6 million (55.06 million USD), while still holding 32.93 million (47.75 million USD).

A whale deposited 3 million USDC into Hyperliquid to build a position on BONK, ETHFI, PENGU, and PEPE.

· In addition, the leader of the "Whale Hunting Squad" @Cbb0fe deposited 5 million USDC into Hyperliquid and placed multiple limit buy orders, distributed across ETH, PUMP, XPL, ENA, and BERA, mostly following a low-buying strategy.

· A Whale account with a 25x long position in ETH has an unrealized profit of nearly $9.9 million, with an initial margin of $9.5 million, doubling its returns.

· Tether Treasury has minted 1 billion USDT on the Ethereum network, marking the largest single issuance in recent times.

Analysis: The DeFi blue chip AAVE has once again received support from institutional investors, while ASTER and ENA show active funding indicating that second-tier assets still have appeal. The reflow of leveraged funds enhances the market's volatility resilience, and the increase in USDT issuance suggests a rebound in stablecoin demand, possibly indicating that off-exchange funds are re-entering the market.

Market Overview and Trend Analysis

On October 14, on-chain data indicates that the market is in an extreme speculative phase:

Shorts dominate but funding divergence is evident: The scale of short orders on BTC and ETH remains high, but some high-net-worth addresses and institutions are starting to accumulate in batches, indicating increased attractiveness in the price bottom area.

Hacker funds disrupt market expectations: Hackers have heavily invested in SOL and ETH twice in a short period, amplifying the short-term volatility and market sentiment.

Institutional Layout Continues Structural Signals: The continuous buying action of MARA indicates that institutions have not exited the market but are adjusting their allocations amidst volatility.

Stablecoin Issuance Releases Liquidity: The minting of 1 billion USDT by Tether indicates signs of market liquidity recovery, which could serve as fuel for the subsequent rebound.

In summary, the market is still in a high volatility range in the short term, with a bearish dominant pattern not yet broken. However, the trend of liquidity recovery and institutions gradually building positions is being established in the medium to long term. If BTC can stabilize below the $110,000 range, the market is expected to make a directional choice within the next 48 hours.

Conclusion

The dynamic changes in on-chain funds reveal the core characteristics of the current market - "high leverage, strong speculation, and weak consensus". For crypto investors, short-term strategies should guard against extreme volatility risks, while medium-term signs of capital inflow provide a foundation for future market recovery. A prudent layout, controlling leverage, and paying attention to the flow of institutions and stablecoins remain the key strategies to cope with the current market.