Once the largest BTC bear army, Strategy's opposing side suddenly turned around. What does the $120 million new long position mean?

On-chain whale Strategy counterparty completed a remarkable attitude reversal. The address that once held a $120 million BTC short position closed all shorts within a day and immediately opened long positions in multiple tokens including BTC, ETH, SOL, XRP, with a similar scale of about $120 million. What market signals does this extreme shift from bearish to bullish convey?

Whale’s 180-Degree Turnaround

According to Hyperbot on-chain data, the Strategy counterparty made a key turning point at 15:04 on January 8. The address closed all short positions in BTC, ETH, SOL, XRP, and other tokens within just 20 minutes, resetting perpetual contract holdings to zero, and gained approximately $7.17 million in profit in one day, with a total profit of nearly $10.01 million over the past month.

Subsequently, the address immediately switched to a bullish stance, opening long positions in BTC, ETH, SOL, XRP, and XPL. After multiple rollovers and adding to positions, the current new position size totals about $120 million.

Comparative perspective: from shorts to longs

This comparison is quite interesting: the position sizes are nearly equal, but the directions are completely opposite. This is not a small test; it’s a genuine strategic shift.

Market Signal Interpretation

Why is this reversal worth paying attention to

The influence of the Strategy counterparty on-chain should not be underestimated. Since the address was established last December, it has gradually added to short positions in BTC, ETH, and other mainstream coins, once becoming the “largest on-chain BTC short army.” Such addresses typically represent professional on-chain operators, whose position changes often reflect a shift in market perception.

The transition from extreme bearishness to decisive bullishness may be driven by several logical factors:

• Market sentiment signals: Closing shorts is itself a form of “admission of defeat,” and immediately turning long indicates a new judgment on the subsequent market trend
• Technical turning points: Certain key price levels or technical indicators may have triggered the operator’s shift
• Fundamental changes: New macroeconomic or project-specific developments could alter the operator’s expectations
• Risk management: Adjusting positions after profits, shifting from defensive to offensive strategies

Composition of involved tokens

Among the five tokens involved in the new long positions, BTC and ETH are recognized market leaders, with SOL and XRP also showing recent activity. This configuration indicates the address’s relatively optimistic outlook on the future performance of mainstream coins.

Follow-up Observation Directions

Such whale position shifts are often leading indicators of market sentiment changes. At this moment, when the Strategy counterparty has completed its reversal, several questions are worth monitoring:

• Are other on-chain large holders also adjusting their positions?
• Can BTC and other main coins hold their current levels (current BTC price: $90,399.50)?
• Does this reversal mark a collective shift from bearish to bullish sentiment in the market?

Summary

The Strategy counterparty’s shift from a $120 million short to a $120 million long is not just a position adjustment but a potential signal of a market sentiment turning point. A professional operator who was once firmly bearish and profited from it suddenly turning bullish warrants serious attention from all participants.

In the current market, every move by whales could influence subsequent price trends. Whether this turnaround heralds a new upward cycle or is merely a short-term technical rebound remains to be confirmed by future data and price action. But one thing is certain: the on-chain whale game has entered a new phase.