In the volatile world of cryptocurrency trading, Ethereum (ETH) continues to attract high-stakes players, as evidenced by the recent moves of a prominent whale known as "魔丸麻吉." This trader, who has garnered attention for persistent long positions despite substantial losses, has once again reloaded their account with a fresh injection of 1.2 million USD in margin. According to Ai 姨 on Twitter, over the past 8 hours, this individual opened a massive 4,250 ETH long position with 25x leverage, totaling a staggering 12.57 million USD in value. The average entry price stands at $2,941, with a liquidation price set at $2,710.2, highlighting the razor-thin margins in leveraged ETH trading.

Ethereum Whale's Persistent Long Strategy Amid Heavy Losses

This latest ETH long position comes on the heels of a significant setback for the trader. Just one hour prior, they closed out a four-day ETH long hold, incurring a loss of 1.872 million USD, leaving their account balance at a mere 15,919.64 USD. This marks the sixth consecutive loss on long trades, accumulating to 2.49 million USD in deficits. Since May of this year, the trader's Hyperliquid account has racked up cumulative losses exceeding 21.25 million USD, raising questions about risk management in high-leverage crypto environments. For traders eyeing ETH price movements, this pattern underscores the perils of over-leveraged positions, especially when ETH hovers around key support levels like $2,700 to $2,900. Historical data from on-chain analytics shows that such whale activities often influence short-term ETH volatility, with trading volumes spiking during these events. If ETH dips below the $2,710 liquidation threshold, it could trigger a cascade of liquidations, potentially pushing prices toward lower support at $2,500, based on recent market patterns observed in December 2025.

Trading Opportunities and Risks in Current ETH Market

From a trading perspective, this whale's actions provide valuable insights into Ethereum market sentiment. With ETH's average opening price at $2,941, traders might consider this as a potential resistance level if bullish momentum builds. On-chain metrics, such as increased transaction volumes on platforms like Hyperliquid, suggest growing interest in leveraged ETH pairs. For those analyzing ETH/USD or ETH/BTC trading pairs, the 25x leverage amplifies both gains and risks— a 7-8% drop could wipe out the position entirely. Broader market implications include correlations with Bitcoin (BTC), where ETH often follows BTC's lead; if BTC maintains above $90,000, it could support ETH's recovery toward $3,000. Institutional flows, as tracked by various blockchain explorers, indicate that while retail traders face liquidation risks, whales like this one continue to bet on ETH's long-term upside, possibly driven by upcoming network upgrades or DeFi expansions. However, without real-time ETH price surges, this strategy exemplifies the high-risk nature of perpetual futures, where trading volumes in the last 24 hours have shown mixed signals, with some exchanges reporting over 10 billion USD in ETH derivatives turnover.

Looking ahead, Ethereum trading opportunities abound for cautious investors. Support levels around $2,710 could serve as entry points for short-term longs if positive catalysts emerge, such as favorable regulatory news or increased adoption in AI-integrated blockchain projects. Conversely, resistance at $3,000 remains a critical barrier, with moving averages like the 50-day EMA suggesting potential consolidation. Traders should monitor on-chain indicators, including whale wallet movements and gas fees, to gauge sentiment. This whale's relentless pursuit, despite mounting losses, highlights a bullish conviction that could influence smaller traders, but it also serves as a cautionary tale—leveraged ETH trading demands strict stop-loss measures to avoid similar pitfalls. In the context of broader crypto markets, this event ties into stock market correlations, where tech-heavy indices like the Nasdaq often mirror ETH's performance due to shared AI and blockchain narratives. For instance, if AI tokens like FET or AGIX see inflows, it could bolster ETH's ecosystem, creating cross-market trading setups. Ultimately, with ETH's market cap fluctuating around 350 billion USD, such high-profile trades remind us of the dynamic interplay between individual strategies and global market forces, offering lessons in resilience and risk for all cryptocurrency enthusiasts.