207.3 million dollar liquidation bloodbath! What warning does the "death spiral" of ETH shorting whales ring for the crypto world?
The market educates leveraged players in the cruelest way: a "legendary whale" that once had a 75% success rate shorting ETH left a tragic trail on-chain today, August 9. In an 11-day shorting journey, the whale's profit soared to 12.25 million dollars before a catastrophic loss of 20.73 million dollars, ultimately exiting the market with a mere 250,000 dollars in "residual value"! This liquidation tragedy exposed by BlockBeats is stirring up waves in the crypto circle.
Complete record of the death spiral: the strangulation of greed and trend
Smooth start: Shorting ETH on July 28, with profits exceeding ten million dollars by August 3, seemingly mastering the market's secrets; turning point arrives: ETH suddenly begins a unilateral rise, forcing the whale to continuously add to positions, cumulatively investing 20.98 million dollars in an attempt to "turn the tide"; catastrophic end: In the afternoon of August 9, positions were completely liquidated, and assets worth millions vanished into thin air, leaving only the remnants to prove the former "ambition".
On-chain data starkly reveals: Leveraging against the trend = suicidal gambling. When the market trend formed, ETH recently broke through key resistance levels, any operations against the trend would be magnified into disaster by leverage, even if you were once a "75% success rate" expert. Triple impact on the crypto world: Market sentiment explosion: Whale liquidation releases a large amount of short positions, potentially propelling ETH's short-term upward "long killing short" trend continuation; collapse of leverage faith: High success rate ≠ high survival rate; under the volatility of the crypto market, "averaging down against the trend" will eventually be backfired by the market; trading ecology warning: under real-time tracking of on-chain data, whale movements are no longer secret, ordinary investors need to be more vigilant of the trap of "following the trend gambling".
The most heart-wrenching question: Do you dare to take this "scythe"? Watching an account go from ten million in profit to zero, the despair of the whale is something we may have all experienced. But the cruelest truth in the crypto world is: in front of the trend, no one can always be the hunter. How long can ETH's upward momentum continue? How to set a "stop-loss line" for leveraged trading?
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