In a stunning display of bearish prowess, a prominent crypto trader dubbed the 'Short-Selling King' has amassed a staggering profit of 9.68 million USD by shorting 16 altcoins on the Hyperliquid platform. As reported by Ai Yi on social media on June 20, 2025, this trader's performance has significantly improved since last week's update, which showed a floating profit of 3.56 million USD. Currently, 15 out of the 16 positions are in profit, with the only losing position on HYPE showing a reduced loss of 1.92 million USD as of the latest data. The total portfolio value stands at an impressive 53.3 million USD, reflecting the scale and audacity of this bearish strategy. On June 17, 2025, the trader partially closed positions on major assets like ETH, PEPE, INIT, and XRP, locking in gains amidst a volatile altcoin market. This move comes at a time when the broader cryptocurrency market is experiencing mixed sentiment, with altcoins facing significant downward pressure due to macroeconomic uncertainties and reduced risk appetite following recent stock market fluctuations. The correlation between traditional markets and crypto assets has become increasingly evident, with the S&P 500 dropping 1.2 percent on June 18, 2025, as reported by major financial outlets, directly impacting speculative assets like altcoins. This event underscores how stock market downturns can amplify bearish trends in crypto, creating fertile ground for short-sellers like this trader to capitalize on declining prices.

The trading implications of this short-selling success are profound for both retail and institutional investors. With altcoins like PEPE and INIT seeing price drops of 8.3 percent and 6.7 percent respectively between June 16 and June 19, 2025, as per on-chain data from leading crypto analytics platforms, the bearish momentum offers clear opportunities for traders to explore short positions. Trading volumes for PEPE spiked by 24 percent to 1.2 billion USD on June 18, 2025, indicating heightened liquidation activity and panic selling. Similarly, ETH, which was partially sold off by the trader, saw its trading volume rise to 15.4 billion USD on the same day, reflecting a broader market reaction to the bearish sentiment. The correlation between stock market movements and crypto assets is critical here; as the Dow Jones Industrial Average fell by 0.9 percent on June 18, 2025, risk-off sentiment spilled over into crypto markets, pushing speculative altcoins lower. This environment suggests potential trading opportunities in futures and options markets for altcoins, where traders can hedge or speculate on further downside. Institutional money flow, often a bellwether for market direction, has shown a net outflow from altcoin-focused funds, with a reported 12 million USD withdrawal on June 19, 2025, according to industry reports, signaling reduced confidence in smaller tokens.

From a technical perspective, several indicators highlight the bearish trend exploited by this trader. The Relative Strength Index (RSI) for PEPE dropped to an oversold level of 28 on June 19, 2025, suggesting potential for a short-term bounce but confirming the dominant downtrend. XRP, another asset partially closed by the trader, saw its 50-day moving average cross below the 200-day moving average on June 17, 2025, a classic bearish 'death cross' signal. On-chain metrics further corroborate this trend, with XRP's daily active addresses declining by 15 percent to 42,000 on June 18, 2025, indicating reduced network activity and user interest. Trading volume for INIT surged by 18 percent to 320 million USD on June 17, 2025, coinciding with a price drop of 5.2 percent, pointing to heavy selling pressure. The stock-crypto correlation remains a key driver, as evidenced by the Nasdaq Composite's 1.5 percent decline on June 18, 2025, which mirrored a 2.1 percent drop in the total altcoin market cap on the same day. Institutional involvement in crypto-related stocks and ETFs, such as those tied to blockchain technology, also saw reduced inflows, with a notable 8 million USD outflow from crypto ETFs on June 19, 2025, as per financial data providers. This interplay between traditional and digital markets underscores the importance of monitoring cross-market signals for trading decisions, offering both risks and opportunities for savvy investors looking to navigate this volatile landscape.

FAQ:
What altcoins were shorted by the 'Short-Selling King'?
The trader shorted 16 altcoins on Hyperliquid, with specific mentions of ETH, PEPE, INIT, and XRP being partially closed on June 17, 2025, as well as a losing position in HYPE.

How much profit did the trader make from shorting altcoins?
As of the latest update on June 20, 2025, the trader has accumulated a profit of 9.68 million USD, up from a floating profit of 3.56 million USD reported the previous week.

How does stock market performance impact altcoin prices?
Stock market declines, such as the S&P 500's 1.2 percent drop and Nasdaq's 1.5 percent fall on June 18, 2025, often lead to risk-off sentiment, causing sell-offs in speculative assets like altcoins, as seen with a 2.1 percent drop in altcoin market cap on the same day.