Traders 'watershedpath' holds $111m long position in Hyperliquid's HYPE with $58m unrealized profit

A pseudonymous trader known as 'watershedpath' has held the largest long position in Hyperliquid's native token, HYPE, for nearly a year. According to blockchain analytics platform Arkham, this position is valued at $111 million, with an unrealized profit of $58 million.

The trader recently withdrew $18.5 million from the position's margin, which is a strategy that allows them to monetize gains without reducing market exposure. However, this maneuver increases liquidation risks as it lowers the buffer needed to protect the position against adverse price movements.

Hyperliquid's token has experienced significant volatility in recent times, with its price increasing by over 46% in the past month and a further 16% gain in the last seven days. At the time of the report, HYPE was trading at $82.06, with a 24-hour trading volume of nearly $1.16 billion.