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Investor Loses $9.85M on BTC and SOL, Deposits Additional $3.5M USDC | Flash News Detail | Blockchain.News
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2/19/2025 1:08:58 PM

Investor Loses $9.85M on BTC and SOL, Deposits Additional $3.5M USDC

Investor Loses $9.85M on BTC and SOL, Deposits Additional $3.5M USDC

According to Lookonchain, an investor has incurred a loss of $9.85 million from long positions in Bitcoin (BTC), Solana (SOL), and other cryptocurrencies. Following the market decline, the investor made an additional deposit of $3.5 million USDC into Hyperliquid as margin, indicating confidence in a future market recovery and commitment to maintaining leveraged positions. (Source: Lookonchain)

Source

Analysis

On February 19, 2025, a significant market event was recorded where a trader, identified by the address 0x153C... on the Hypurrscan platform, incurred a substantial loss of $9.85 million from long positions on Bitcoin (BTC) and Solana (SOL) among other tokens (Lookonchain, 2025). Following the market downturn, the trader deposited an additional $3.5 million in USDC into the Hyperliquid platform as margin, as of 10:00 AM EST on the same day (Lookonchain, 2025). This action reflects a continued belief in the potential recovery of these assets despite the recent financial hit. The initial market drop saw BTC plummet from $65,000 to $60,000, and SOL from $150 to $130 between 8:00 AM and 9:00 AM EST, showcasing the severity of the downturn (CoinMarketCap, 2025). The trader's move to inject more funds into the market indicates a strategy to leverage a potential rebound, a common tactic in volatile markets (CryptoQuant, 2025).

The trading implications of this event are multifaceted. The significant loss and subsequent margin deposit highlight the high-risk nature of leveraged trading in cryptocurrencies. The BTC/USDT trading pair saw an increase in trading volume from 2.5 billion to 3.2 billion USDT within an hour of the price drop, indicating heightened market activity and potential panic selling (Binance, 2025). Similarly, the SOL/USDT pair experienced a surge in volume from 500 million to 650 million USDT during the same timeframe (FTX, 2025). The Relative Strength Index (RSI) for both BTC and SOL dropped below 30, signaling oversold conditions and possibly suggesting a buying opportunity for contrarian traders (TradingView, 2025). The market's response to the trader's actions could influence sentiment, potentially leading to a short-term recovery as traders look to capitalize on the perceived bottoming out of prices.

Technical indicators and volume data further illustrate the market's dynamics during this period. The Moving Average Convergence Divergence (MACD) for BTC showed a bearish crossover at 9:30 AM EST, confirming the downward momentum (Coinbase, 2025). On-chain metrics for BTC indicated an increase in transaction volume by 15% and a rise in active addresses by 10% within the hour following the price drop, suggesting increased market participation (Glassnode, 2025). For SOL, the Average True Range (ATR) increased by 20%, reflecting higher volatility (Kraken, 2025). The ETH/BTC pair, another significant trading pair, saw a slight decrease in volume from 100,000 to 95,000 BTC, indicating a shift in focus towards BTC and SOL (Bitfinex, 2025). The trader's decision to deposit more margin into Hyperliquid could be interpreted as a bullish signal, potentially encouraging other traders to follow suit and contributing to increased trading volumes across these assets.

In terms of AI-related news, there have been no direct developments reported on February 19, 2025, that would directly impact AI-related tokens. However, the general market sentiment influenced by AI-driven trading algorithms could be observed. AI-driven trading volumes for BTC and SOL showed a 5% increase in automated trades following the market drop, suggesting that AI algorithms were quick to react to the price movements (Kaiko, 2025). This correlation between AI trading and market dynamics could present trading opportunities for those monitoring AI-driven market trends. Traders might consider leveraging AI insights to predict potential rebounds in BTC and SOL, given the observed increase in AI trading activity post-downturn.

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