In the ever-shifting terrain of cryptocurrency trading, a notable player has emerged once again, dramatically reshaping market dynamics with another audacious bet against Bitcoin. This crypto whale, who previously reaped a staggering $192 million profit from a meticulously timed short position, has resurfaced, this time with a fresh $163 million bearish wager. But beyond the numbers, what does this mean for the market? Let’s dive deep into the implications of this high-stakes maneuver.
Recently, the trader, represented by the address 0xb317 on the decentralized derivatives exchange Hyperliquid, reopened their short position on Bitcoin late Sunday using a bold 10x leverage. Almost immediately, this move garnered attention as it’s already showing a potential profit of $3.5 million, although the bet is at risk should Bitcoin’s price soar to $125,500, which could trigger a liquidation of the position.
But the intrigue doesn’t stop there. The trader first gained notoriety just last week when they opened a colossal short position a mere 30 minutes before former President Donald Trump announced new tariffs, which set off a wave of selling across the market. This strategically timed trade not only raised eyebrows but also led to accusations of insider trading, with many dubbing this entity an “insider whale.”
As the dust settled from the aftermath of Trump’s announcement, industry watchers, including crypto analyst MLM, pointed out that this trader had apparently shorted additional Bitcoin and Ethereum amounts moments before the market downturn. “This guy played a huge role in what happened today,” MLM remarked, indicating that these trades might have significantly contributed to the weekend’s liquidation cascade that left over 250 wallets in dire straits. The shattering effects of this sale prompted many to reevaluate the integrity of crypto markets.
However, there’s a flip side to this bearish sentiment. While one trader bet big on declining prices, another boldly opened an $11 million long position on Bitcoin with an astonishing 40x leverage, expressing confidence that a market rebound is on the horizon. Could they be right? Only time will tell, but this stark contrast in trading strategies highlights the unpredictability and excitement that characterize the crypto landscape.
Amid this whirlwind trading activity, exchanges like Binance found themselves under intense scrutiny. Many users reported system failures during the selloff, which included failed stop-loss orders and unexpected token depeggings. Binance responded by clarifying that their systems did not malfunction; rather, they attributed the chaos to a “display issue.” Nevertheless, to appease affected users, Binance announced a compensation plan amounting to $283 million for those impacted by depegged collateral assets like USDE and BNSOL.
In case you didn’t know – the BTC whale closed 90% of his BTC short and fully closed his ETH short, making around $190–$200M profit in just one day on Hyperliquid.The crazy part is that he shorted another 9 figs worth of BTC and ETH minutes before the cascade happened. And this… pic.twitter.com/QhmUpesG0j— MLM (@mlmabc) October 10, 2025
Interestingly, this tumult occurs against a backdrop of political turbulence in the U.S., particularly with President Trump’s approval ratings dipping to new lows as the government grapples with shutdowns and increasing partisan conflicts. According to a recent Reuters/Ipsos poll, only 40% of Americans approve of Trump’s job performance, a decline attributed in part to his handling of law enforcement issues during a tumultuous political climate.
Moreover, as Trump continues to champion a pro-crypto agenda in his 2024 campaign, his actions are raising eyebrows among both supporters and critics alike. Senator Elizabeth Warren has voiced concerns about potential ethical dilemmas if Trump benefits financially from cryptocurrency ventures while in office.
So what does this all mean for the future of cryptocurrency? The market remains volatile, influenced by both external political events and internal trading behaviors from influential players. As traders navigate this unpredictable environment, many are left pondering: Is this bear market simply a phase before the next bull run, or are we witnessing the start of a fundamental shift in the way crypto is traded and regulated? The coming weeks will likely provide some answers.
If you’re intrigued by the ever-evolving world of cryptocurrency trading and its intersection with broader economic and political issues, keep your eye on developments in the market—and remember, as with all investments, tread carefully and do your homework.
For more insights and updates on cryptocurrency trends, check out sources like [CoinDesk](https://www.coindesk.com) or [CoinTelegraph](https://www.cointelegraph.com) for the latest news and analysis.