High leverage shorting ETH? That's not trading, it's being a living ATM for the market!” - Shen Ce's market notes.

Dear friends, I am your old friend Shen Ce. Today, Lookonchain has exposed a textbook-level negative case: a whale shorted ETH with 20x leverage on Hyperliquid six days ago, and as a result, ETH kept rising, directly putting him on the shame pole - a floating loss of 10.7 million dollars! This guy just poured in another 3.58 million USDC to save his life, pushing the liquidation line to 4006 dollars. Now, let's clarify three things in plain language:

1. Why does the whale stubbornly hold on? This is the trap of human nature!

I have seen too many people suffer from this problem: "sunk cost fallacy."

  • This whale has added 17.04 million USDC in the past six days, equivalent to burning a Ferrari every day.

  • Thinking, "I've already thrown in so much money, what if ETH crashes tomorrow morning?" (Typical gambler's logic.)

  • The reality is harsh: Last week, the whale 0x2258 on the same platform shorted ETH and faced a liquidation loss of 8.44 million dollars, the script is exactly the same.

Shen Ce's viewpoint: Adding margin is like scooping water out of a leaking boat – the more you scoop, the more it sinks. Real experts understand: cut losses quickly, add positions aggressively, if the direction is wrong, one-click liquidation!

2. 20x leverage = self-destruct button! Retail investors should never learn this.

Let me do the math for you:

  • ETH's current price ≈ 3800 dollars, his liquidation price is 4006 dollars.

  • As long as it rises another 5.4% (approximately 206 dollars), 17 million principal will evaporate instantly.

  • What does this mean? ETH's recent daily fluctuations often exceed 7%, and this position won't survive a single morning rally!

A bloody example: In May, an old brother shorted BTC/ETH/SOL with 5x leverage on Hyperliquid, holding on for two months with a floating loss of 3.32 million dollars and still hanging on – this is not trading, it is self-financing torture!

Shen Ce's viewpoint today.

ETH has been fluctuating within a range since yesterday. From 8 AM yesterday to just past 4 AM today, it remained within the range until 5 AM when the US passed a bill and pension funds entered the crypto market, effectively breaking out of the range. It broke the key point of 3478 and surged to 3628. Shen Ce predicts that ETH's future trend will pull back to around 3560 due to lack of momentum before breaking the historical high of 3688. If you don't know what an effective breakout is, you can come to Shen Ce for a hands-on guide.

Are you stuck? When to buy the dip? Still the same words, if you feel lost and helpless and don’t know what to do, click on the avatar to comment. I need followers, you need references #ETH突破3600 $ETH