The 0x0558 cryptocurrency address executed significant position liquidations amidst recent market declines, fully closing its leveraged long position on Ethereum (ETH) and partially reducing its Bitcoin (BTC) exposure.
This high-volume trader, often characterized as a ‘whale’, now retains a long BTC position totaling 640 coins. At current valuations, this remaining holdings are worth approximately $72.3 million.
The sell-off led to a dramatic decline in realized profits. Within the span of just five days, reported profits associated with these positions dwindled to around $494,700. This represents a sharp decrease from over $18 million reported prior to the market correction.
The liquidation underscores the significant risks involved in maintaining leveraged long positions, particularly during periods of heightened market volatility and downward price movement.
Market analysts suggest the decision to completely exit the ETH long indicates a risk management step taken in response to adverse price action. Conversely, retaining a substantial BTC position, albeit reduced, is viewed as reflecting a degree of continued confidence in Bitcoin’s relative resilience compared to other digital assets.