Largest Hyperliquid Whales Are Shorting Amid Wild Market Volatility - Coinspeaker

Key Notes

• The largest whales on Hyperliquid are going short as Bitcoin consolidates around $96,000.
• Bitcoin’s social dominance signals severe retail panic and FUD.
• The broader crypto market is seeing pressure from both macro and micro factors.

Bitcoin’s (BTC) fall below the crucial $100,000 mark last week triggered a wave of short positions from massive whales on Hyperliquid.

The largest Hyperliquid whales, with over $50 million in digital assets, have been heavily betting on a further crypto market correction, according to data from Coinglass.

Hyperliquid’s “Leviathans” dominating the market with short positions | Source: Coinglass

Data shows that the so-called Hyperliquid “Leviathans” – referring to a mythical sea monster to illustrate their size – currently have $3.44 billion in open positions, comprising $1.15 billion in longs and $2.29 billion in shorts, on the perpetual exchange.

These whales, with a size of over $50 million, are the only traders betting heavily on a deeper crypto market fall.

According to Coinglass data, the traders’ sentiment rises as their sizes decline; the most bullish traders are the so-called “shrimps,” which have a wallet size of up to $250.

Bitcoin’s Social Dominance Shows Panic

Following Bitcoin’s fall below $95,000 on Friday, Nov. 14, the sense of fear, uncertainty, and doubt among the crypto community skyrocketed.

According to an X post by Santiment, the Bitcoin social dominance spiked to four-month highs, a level last seen in mid-July.

The surge in Bitcoin’s social dominance was followed by retail panic and FUD, which consequently triggered a price correction, from $120,000 to $112,000 within two weeks, for the leading asset.

Currently, Bitcoin is seeing similar sentiment, and Santiment is hinting at “probabilities of a market reversal.”

One of the reasons behind the market-wide correction is the massive outflows from Bitcoin-based exchange-traded funds in the US. Coinspeaker reported that spot BTC ETFs recorded a net outflow of $1.8 billion last week.

According to a Barron’s report, investors are shifting away from riskier assets, such as cryptocurrencies, due to concerns about shaky economies and high valuations in tech and AI stocks.

However, this cannot be a guaranteed bottom signal for the crypto market. When large whales go against the broader market and the crowd wanders in uncertainty, history suggests something big might be brewing.

nextDisclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.