Trader Qwatio's Short Positions in Bitcoin and Ripple Failed

While cryptocurrency markets have been showing signs of recovery in recent days, renowned trader Qwatio experienced significant losses in Bitcoin (BTC) and Ripple (XRP) trades. According to data from on-chain analysis platform Lookonchain, Qwatio incurred a loss of approximately $3.4 million when he recently closed his Bitcoin and Ripple short positions.

Despite the losses, Qwatio decided to adopt an even more aggressive strategy instead of withdrawing from the market. He recently opened a new short position of 6.17 million XRP (approximately $17.6 million). Using 20x leverage in this trade, Qwatio set the liquidation price at $2.9155, indicating that his position would be at significant risk if the market price rises.

Qwatio, who had previously experienced significant losses, created a new wallet and deposited 4.22 million USDC on the Hyperliquid exchange, where he had opened a 40x short position for 1.366 Bitcoin (approximately $150 million) and a 20x short position for 2.78 million XRP (approximately $7.7 million). However, these trades also failed, and Qwatio suffered losses exceeding $1.2 million.

Sharp price movements in the short term increase the risks for traders using high leverage, like Qwatio, while other investors should also be cautious about the risk of liquidation in similar positions. Rising market trends and volatile price movements bring critical levels that investors should monitor carefully.