Ex-Trump Associate Bets $340 Million Against Bitcoin’s Success

Key Points

• A trader known as “Trump Insider Whale” has increased their short position on Bitcoin.
• The trader made a profit of around $200 million following the October 10 market crash.

A trader, known as the “Trump Insider Whale”, has increased their short position amid the fluctuating price of Bitcoin.

Arkham Intelligence has reported that the trader is now short $340 million on Bitcoin. The details of the series of transactions carried out by the trader were shared by blockchain analytics platform X.

Profitable Short Positions

Arkham revealed that the trader had previously shorted $700 million of Bitcoin and $350 million of Ethereum.

These transactions took place before the market crash on October 10, which resulted in over $19 billion being wiped out from the crypto market. As a result, the whale trader made a profit of around $200 million.

Onchain data shows that the trader deposited $40M USDC to HL and shorted another $127M Bitcoin, maintaining an unrealized PnL of $5M. As it stands, the trader has increased their short position on Bitcoin to $340 million.

The timing of these trades has led to speculations about the possibility of insider information. However, no one has been able to confirm these speculations.

At the time, the price of Bitcoin was at $111,584.26, which corresponds to a 2.36% increase within the last 24 hours. Its market capitalization and 24-hour trading volume are also trying to recover at $2.22 trillion and $79.27 billion, respectively.

Massive Liquidation in Crypto Market

The broader cryptocurrency market recently saw a massive liquidation of $624.41 million. In a span of 24 hours, about 213,938 traders were liquidated, with the largest single liquidation order coming from OKX.

Several digital currencies, including Bitcoin, Ethereum, SOL, DOGE, XRP, and several others, were impacted by the market pivot. In this scenario, short traders made a profit while long traders suffered massive losses.

For instance, Ethereum long traders’ liquidations were pegged at $107.77 million, and short traders recorded only about $79.81 million losses. Bitcoin liquidation followed closely at $125.98 million, with long traders suffering a major loss of $95.79 million.

If this trend continues, the Trump Insider Whale could be gearing up to earn even more profit.