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Whale Fish Performs Short BTC with 40x Leverage, Now Facing Losses Due to Expansion
On January 26, a whale executed a shorting strategy on Bitcoin with 40x leverage, with an average entry price of $87,771.1. According to data from BlockBeats, the position initially experienced only minimal losses. However, with the recent market development where BTC has dropped to $71.36K, the floating loss from this position has expanded significantly.
This whale adopted an aggressive short-term trading strategy by leveraging high, primarily focusing on BTC. Considering the market trend showing bearish pressure, such a shorting strategy is actually aligned with market sentiment. However, using 40x leverage certainly carries very high exposure risk, where even small price movements can amplify the impact of losses or gains.