Reckless whale who bets against Bitcoin and XRP loses 80% of portfolio

A reckless crypto whale aptly named “Gambler” has lost over 80% of his portfolio after betting against Bitcoin and XRP.

According to information from crypto transaction tracker Onchain Lens on 29 September, Gambler opened a 40x and 20x short on Bitcoin and XRP respectively, drawing the attention of the crypto space.

He later lost 80% of his portfolio as a result of the open trades, leaving many questions as to what triggered the decision.

A wrong move

Gambler created a new wallet and deposited $4.22 million USDC on 26 September. He later opened a 40x short position on Bitcoin and a 20x short position on XRP adding up to over $155 million.

The positions were opened when Bitcoin dropped to $108,855 and XRP to $2.71. Apparently, the whale expected prices to go lower, but Bitcoin made a surprise comeback today, pulling some altcoins with it including XRP.

As a result, he lost $3.44 million of his portfolio adding up to over 80%, leaving him with just $785,000 in the wallet. 

No information has come from Gambler at the time of writing this report, and his X handle last posted on 2nd July. 

A common occurrence 

Gambler’s case is not an isolated one, as investors tend to gamble with crypto in bull markets like the one we are currently in, hoping to make some quick profit. 

Earlier this month, another whale was liquidated on a long position for Ethereum, causing the loss of close to $7 million.

These whales are mostly without much experience concerning trading but make such decisions thinking the outcome may be different.

Leverage trading is especially dangerous and not recommended except for traders that have already made it or are highly skilled with years of experience because of its potential to quickly wipe out a trader’s account if the market turns against them.