Cryptocurrency trading firm AguilaTrades incurred significant losses on leveraged Bitcoin positions as BTC’s price fell below $101,000. The firm recorded a $31.72 million realized loss on long positions during the market downturn.
In response to the price movement, AguilaTrades reduced its exposure to $185 million while liquidating a short position totaling 1,685.13 BTC. The firm currently maintains an unrealized loss of $8.21 million, with positions facing potential liquidation if Bitcoin reaches $98,041.
This incident highlights the substantial risks and volatility inherent in leveraged cryptocurrency trading, demonstrating how rapid price movements can trigger significant financial consequences for market participants.