A prominent crypto investor known for their strategic moves, dubbed the “Trump insider,” has significantly intensified their short position on Bitcoin by adding an additional 200 BTC, approximately worth $22 million, to their existing bearish bet against the cryptocurrency. According to data from Hyperbot, this trader now maintains a total of 900 BTC in short positions, which amounts to nearly $99.6 million. Despite the substantial investment, the position is currently reflecting an unrealized loss of about $1.1 million as market prices fluctuate.
The latest addition to their short position was executed with 10x leverage, indicating a high-risk strategy. The entry price for this position was approximately $109,521 per Bitcoin, with a critical liquidation threshold anticipated near $141,072. Earlier in the week, the trader had also deposited $30 million in USDC to a trading platform called Hyperliquid, where they opened a Bitcoin short worth $76 million. This aggressive positioning comes in the wake of Bitcoin’s recent market struggles and previous price crashes.
Earlier trades reveal that the wallet involved had entered around $115,783 per Bitcoin, expanding its overall short exposure to 3,440 BTC, valued at approximately $392.6 million at that time. Before the market rebound, these positions briefly yielded an unrealized profit of about $5.7 million. However, the investor’s latest $22 million maneuver suggests a continued expectation of declining prices, even amidst a slight stabilization in the Bitcoin markets.
This bold strategy has caught the attention of the wider crypto community, with many traders speculating whether this investor is preparing for another significant market correction. The wallet gained notoriety for previously profiting by $160 million from a short position taken just before a news event related to US President Donald Trump, which precipitated a market sell-off, leading to the enduring nickname “Trump insider.”
Despite the apparent bearish stance of this key player, recent market dynamics show a potential shift. A report from Coinbase Institutional indicates that 67% of professional investors are anticipating a major Bitcoin rally within the next three to six months, fueled by expectations of easing monetary policies from central banks. Notably, analysts forecast two rate cuts by the US Federal Reserve this quarter, which could free up trillions of dollars currently held in money market funds.
Nevertheless, uncertainties persist, particularly regarding the broader macroeconomic landscape, which both institutional and retail investors view as a significant near-term risk for digital assets. Experts warn that the simultaneous presence of cautious optimism could lead to increased volatility in Bitcoin’s price as it hovers around pivotal technical levels.
For the moment, the “Trump insider” continues to bet that the next substantial market movement will be downward, indicating a belief that the pressures affecting Bitcoin have yet to be fully accounted for in the current pricing.
