A prominent crypto investor, known for a uniquely profitable trading strategy, has placed a significant bearish wager on Ethereum. The whale, identified by the wallet address “0x2258…”, has initiated a $62,42 million short position, signaling a strong conviction that the second-largest cryptocurrency is poised for a downturn.
The Anatomy of the Trade
On-chain data reveals the specifics of this high-stakes maneuver. The trader is shorting 20.474 ETH, acquired at an average entry price of $3.060 per token. The position is amplified with 18x leverage, a move that magnifies both potential profits and risks.
This bet is already in the green. With Ethereum trading below the entry point, the position holds an unrealized profit of approximately $1,14 million, representing a swift 30% return on the margin deployed. However, the high leverage sets a critical liquidation price at $3.505. Should ETH rally and surpass this level, the entire position would be automatically closed at a total loss. This price point is not arbitrary; it aligns with a powerful resistance level that Ethereum previously struggled to overcome in January 2025.
A Track Record of Counter-Intuitive Success
This whale is no stranger to the spotlight, having cultivated a reputation for successfully trading against the positions of crypto influencer James Wynn. This counter-trading strategy has reportedly netted the whale over $15.000.000 in realized gains.
The pattern is well-documented:
• In May, when Wynn announced long positions on ETH and Bitcoin, this whale immediately opened opposing shorts, walking away with a $1,36 million profit.
• The following day, as Wynn flipped bearish, the whale went long, securing another $2,54 million.
This consistent success in fading a popular market personality suggests the whale’s current short is not a blind gamble, but a calculated move based on a proven, albeit unconventional, strategy.
Broader Market Implications
The trade underscores a growing divergence in the market. While Bitcoin has shown strength in breaking through its own resistance zones, Ethereum appears to be lagging, struggling to build bullish momentum. This whale’s bet is a multi-million-dollar vote of no-confidence in Ethereum’s short-term prospects.
While the trader’s conviction is high, the risks are equally substantial. A sudden positive catalyst for Ethereum could trigger a “short squeeze,” where a rapid price increase forces short sellers to buy back tokens to cover their positions, further fueling the rally. For now, the market watches closely as this high-stakes financial drama unfolds on the blockchain.
Disclaimer: This article is for informational purposes only and should not be taken as financial advice. Always conduct thorough research before making investment decisions.
