User Deposits $3.36 Million for 25x ETH Short
- $3.36 million deposited for 25x ETH short at Hyperliquid.
- Liquidation price between $2,247 and $2,343.
- Increased market volatility and trading volumes observed.
A user has deposited $3.36 million USDC on Hyperliquid to open a 25x leveraged short position on Ethereum, with liquidation threatened as ETH nears $2,400.
Ethereum’s price movement near $2,400 risks liquidating a $3.36 million short position, highlighting the derivation market’s inherent volatility.
The user’s $3.36 million USDC deposit to Hyperliquid’s decentralized exchange allowed opening a 25x short position on Ethereum. Liquidation prices ranged around $2,247-$2,343 due to real-time shifts. Monitoring platforms confirmed unrealized losses exceeding $2.6 million. Lookonchain Analytics, an on-chain data firm, noted that “the whale’s unrealized loss exceeded $2.6 million as ETH price movements edged closer to the liquidation point.” The user’s large trade pushed Hyperliquid volumes up by 20%, with buy orders rising as price neared liquidation thresholds.
Financially, Ethereum-focused institutions recorded more trading activities due to this leveraged trade. The situation reveals systemic risks tied to high-leverage positions within volatile digital markets. Prior incidents on Hyperliquid, like the March 2025 JELLYJELLY loss, mirror potential impacts when large trades approach liquidation.
Hyperliquid experiences pressure on its trading infrastructure because of such heightened leverage trading. Historical episodes reveal the platform’s sensitivity to significant market manipulators significantly affecting token liquidity. The impacts on larger market trends were noticeable amidst broader macroeconomic conditions and crypto market volatility.
