In one of the most notable single-day liquidations, a cryptocurrency trader lost over $300 million in just three hours.
The trader, identified as Qwatio, saw his massive short positions, worth more than $334 million, wiped out in a familiar pattern in his recent trading, according to the latest on-chain data retrieved by Finbold from Lookonchain on July 14.
Data from his public wallet (address: 0x916E) shows a cascade of forced liquidations between 11:42 AM and 1:24 PM UTC on Monday.
In total, Qwatio was forced to close positions amounting to approximately 1,743 Bitcoin (BTC), worth around $211 million; 33,743 Ether (ETH), valued at $102.3 million; and 15 million FARTCOIN, worth about $20.6 million.
After fees, his net realized loss on these trades was nearly $25.84 million.
Bitcoin rally liquidates shorts
Qwatio had placed huge bets against the market, opening aggressive short positions. However, the crypto market rallied sharply instead, led by Bitcoin surging to a record high of over $123,000.
Notably, when prices rise against a short, the trader’s collateral dwindles. If losses grow too large, exchanges liquidate the position to cap risk, forcing a buyback at higher prices.
This is not the first time Qwatio has been burned by overleveraging. Just two days earlier, he suffered another wave of liquidations after opening similar short positions, losing 458 BTC (worth $55 million), 12,147 ETH ($36.55 million), and 5.4 million FARTCOIN ($7.33 million).
Despite these mounting losses, he has continued to re-enter the market with fresh capital. His trading pattern has been of interest in the cryptocurrency market, with some hailing him for bold risk-taking, while others view him as a cautionary tale of reckless overconfidence.
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