Bitcoin Whale Short Takes $18.74M Hit in Price Rally
Bitcoin's price surge on news of expanded treasury repurchases led to another significant liquidation event, this time targeting a prominent short position.
The trader, tracked via Hypurrscan, had initially opened with a large leveraged short position worth $117 million in Bitcoin (BTC). However, after two successive wipes resulting in losses of $640,000, the remaining exposure stood at 1150 BTC ($74.85 million) with the next stop-loss target at $65,232.
This event highlights the ongoing volatility in the crypto market, particularly during periods of correlation between equity and crypto markets. The speed at which large leveraged shorts are being liquidated has become a recurring theme over the past year.
The current price of BTC ($65,515.96) is above both its 50-day (EMA50) and 200-day (EMA200) exponential moving averages ($63,953.93 and $63,885.77 respectively), while testing the upper Bollinger Band at $65,477.41. The Relative Strength Index (RSI) has reached an overbought level of 72.13, and the Moving Average Convergence Divergence (MACD) is confirming a golden cross at 376.77.
Experts suggest that this structure points to a probable healthy pullback towards the 50-EMA support before any sustained continuation higher.