On-chain wallet tracked by bowen1476 down $4.56M, launches $23M Bitcoin short at 40x leverage
AI Market Summary
On-chain data shows a high-profile wallet opening another large BTC short (300 BTC notional ~$23M) at 40x leverage after 14 consecutive losses totaling ~$4.56M, highlighting crowded, high-risk positioning. With BTC up ~22% in a week and ~$3B of shorts liquidated, the setup underscores asymmetric liquidation risk around leverage. Separately, a larger U.S. Treasury buyback cadence may marginally support broader liquidity conditions.
Impact level
● Medium
Affected assets
BTC/USDT+1.36%
AI Insight · BTC/USDTAI Insight
● Neutral
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According to ME News, on Aug. 24 (UTC+8), the wallet monitored by on-chain analyst bowen1476 initiated its 15th Bitcoin short in the past five days, opening a 40x leveraged position of 300 BTC with notional value of about $23 million.
The prior 14 trades all closed in the red, bringing cumulative losses to $4.56 million. The latest short was opened near $77,100, with Bitcoin trading around $77,500 at the time. The position turns profitable if BTC falls below the entry level.
Since exiting a 700 BTC short in May 2026, the wallet has yet to close a winning trade. Over the past seven days, Bitcoin has climbed 22%, triggering liquidations of more than 172,000 short positions across the market and erasing roughly $3 billion in short exposure.
Separately, the U.S. Treasury has doubled the size of its long-term Treasury buyback operations from $2 billion to $4 billion per operation. (Source: ODAILY)
