Rebecca Cruz A Hyperliquid trader who earned $192 million shorting the crypto crash is back with another massive Bitcoin short position. Here’s how this mysterious whale is moving the market again.
The Trader Who Shook the Market Is Back
The crypto world is buzzing again as the same mysterious trader who pocketed $192 million shorting the recent crypto crash has returned with another colossal bearish play. Known only by the wallet address 0xb317 on the Hyperliquid decentralized derivatives exchange, the entity has reportedly opened a new $163 million leveraged short position against Bitcoin.
This crypto trader has managed to become one of the most talked about figures in the digital asset space this week. His previous move placing a short just minutes before President Trump’s surprise tariff announcement sparked a market-wide meltdown that wiped out billions in value across digital assets.
Now, that same crypto trader appears to be betting once more on Bitcoin’s downfall, and the market is watching closely.
The $163 Million Bitcoin Short That Has Everyone Talking
According to data from Hyperliquid, the crypto trader has opened a fresh leveraged perpetual position worth $163 million to short Bitcoin. The trade, reportedly set at 10x leverage, is already in profit by more than $3.5 million. However, analysts warn that the position could be liquidated if Bitcoin’s price climbs beyond $125,500.
Market observers are calling the timing of this new move “eerily similar” to the last. Just as the market seemed to stabilize after a turbulent week, the crypto trader reappeared, signaling another potential wave of volatility.
Several members of the crypto community have dubbed the entity an “insider whale” due to the suspiciously precise timing of the trades, both occurring minutes before major market-moving events.
Community Speculation: Insider or Market Manipulator?
The crypto trader’s timing has led to fierce debate among analysts and traders alike. Many believe that such perfectly timed trades cannot be mere coincidence. Others argue that the entity may be influencing the market directly through massive short orders that trigger cascading liquidations across exchanges.
A pseudonymous market observer known as “MLM” noted that the trader shorted another nine-figure amount in both Bitcoin and Ethereum right before the last market cascade. “This was just on Hyperliquid,” MLM said. “Imagine what he could have done on centralized exchanges.”
The latest crash reportedly erased the millionaire status of over 250 wallets on Hyperliquid, according to tracking platform HyperTracker. The carnage has reignited discussions about the risks of high leverage and unregulated trading platforms.
Meanwhile, another trader has taken the opposite bet, opening a 40x leveraged $11 million long position on Bitcoin, suggesting that some investors are confident that the worst may be over.
Binance Denies Role Amid Market Chaos
Adding to the confusion, Binance, the world’s largest crypto exchange, was also drawn into the controversy. Traders accused the platform of technical failures during the crash, including non-functional stop losses and token depegging.
In response, Binance issued a statement denying any involvement in the market plunge, calling the incident a “display issue” rather than an actual collapse. The exchange assured users that its core trading engines remained fully operational and offered $283 million in compensation to affected users who were liquidated while holding specific assets as collateral.
Despite the turbulence, Binance’s native token BNB has made a sharp recovery, surging more than 14 percent in the past 24 hours to reclaim the $1,300 mark.
What This Means for the Crypto Market
The return of this enigmatic crypto trader underscores how vulnerable the market still is to large speculative bets and unregulated trading environments. Decentralized derivatives platforms like Hyperliquid allow for massive leverage without centralized oversight, creating the potential for cascading effects when whales make big moves.
For traders, the event serves as a reminder of how fragile liquidity can be during high volatility periods. A single crypto trader with sufficient capital and timing can spark a chain reaction that ripples across exchanges worldwide.
Analysts now wonder whether this second massive short is a calculated move based on privileged information or simply a high-stakes gamble by a trader who thrives in chaos. Either way, the crypto market is holding its breath.
The Broader Outlook
With Bitcoin’s price hovering near all-time highs and investor sentiment swinging between greed and fear, the stage is set for another dramatic showdown between bulls and bears. If this crypto trader manages to pull off another winning short, it could fuel further speculation about insider activity in the digital asset markets.The Broader Outlook
With Bitcoin’s price hovering near all-time highs and investor sentiment swinging between greed and fear, the stage is set for another dramatic showdown between bulls and bears. If this crypto trader manages to pull off another winning short, it could fuel further speculation about insider activity in the digital asset markets.At the same time, it highlights a growing need for more transparency in decentralized derivatives trading. As more capital flows into decentralized platforms, questions around accountability and fairness are bound to intensify.
For now, all eyes are on Hyperliquid’s order books, waiting to see whether this whale’s bet pays off once again or whether this time, the market fights back.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards.
