ZEC Rally Leaves Whale Short Down $25.7 Million

A Hyperliquid trader's massive short position in Zcash has left them exposed to significant losses after the asset surged past $1,200. According to on-chain analyst Ember, the wallet held a 32,760 ZEC short position at an average entry price of around $444 in July.

The sharp move from $400 to over $1,200 represents a gain of approximately 170% for Zcash, which has been driven by growing institutional interest. Grayscale's conversion of its existing Zcash Trust into the ZCSH exchange-traded fund has contributed to this increase, with the first U.S.-listed Zcash fund beginning trading on NYSE Arca on August 25.

The trader's Bitcoin long position, worth around $107 million, carries an estimated unrealized gain of $4.42 million. However, funding fees of about $2.05 million have reduced this profit, leaving the two trades still deeply negative overall.