Hyperliquid Trader Liquidated for $26M as Ether Short Unwinds in Seconds

A massive Ether short position on Hyperliquid was liquidated in just 12 seconds, resulting in a reported loss of $26.66 million for the trader.

The position, valued at around $108 million in notional exposure, was held by a whale trader using the ENS-linked address pension-usdt.eth.

As prices spiked, the short was unwound between 04:51:03 and 04:51:15 UTC, with Hyperliquid's backstop fund absorbing the remaining 1,417 ETH.

This event is a stark reminder of the risks associated with leverage in crypto derivatives markets, where even experienced traders can be caught off guard by rapid price movements.