In mid-June, the Bitcoin market was hit by multiple factors, including geopolitical risks caused by the tense situation in the Middle East, uncertainty in US policies, and whale selling within the market. The price fell sharply from a high of about $110,653. This wave of plunges evaporated long positions in an instant, and the scale of on-chain liquidation exceeded $1 billion. The chain reaction of retail panic selling and leveraged liquidation further pushed the market down and fell into an extremely depressed state.
The cloud of this potential plunge has not yet dissipated, investor sentiment has fallen to the bottom, and "crash theories" have emerged one after another on social media. At this moment, a bigger storm seems to be brewing. An abnormally large short order suddenly appeared on the Hyperliquid platform, which immediately made the entire market nervous.
The thing is: an anonymous whale opened a 40x leveraged short order on Hyperliquid, with a position value of up to $115 million, an initial margin of 7.3 million USDC, and then added another $4.97 million. The weighted sum of the two opening prices is $107,766, and the liquidation price of this position is placed in a very sensitive area: $110,826. In other words, as long as Bitcoin rises by less than 3%, the entire position will explode directly.
This is not an ordinary short-term short position, it is "betting on a direction with life". In other words, this is the fate of whales and the vane of the market.
Deconstruction of whale behavior: This is not a gamble on luck, this is a gamble on the "short defense line"
Let's first disassemble the operation rhythm of this whale:
The first position was established on May 21, when the BTC price was about $107,192, with a direct 40x leverage and a margin of $7.3 million. There was almost no room for error, which can be described as a one-hit kill position;
On June 12, another $4.97 million was deposited to add short orders - this was not a panic remedy at the last minute, but more like an increase in the established direction, or in other words, it was to reserve ammunition for "holding on until the counterattack";
The average holding cost was raised to $107,766, and the liquidation price also moved up to $110,826 - this price happened to step on several key resistance points, like a "short lifeline" he took the initiative to draw.
Judging from the rhythm, this is not an impulsive "all-in" operation, but more like a precisely calculated programmed strategy: he knows that his liquidation price is exposed to the market, so he must lay out the game in advance to prevent others from hitting there as much as possible.
And now we can also see some clues of this game on the market.
According to AiCoin data, as of 11:00 on June 13, the selling pressure on the order book in the range of US$104,132 to US$106,106 was 2.4 times the buying power, forming an obvious downward pressure structure.
This market structure is very much like "drawing lines and arranging arrays":
The giant whale hangs a large number of short orders on the top to create a selling pressure atmosphere and suppress market expectations;
At the same time, it also hangs a small number of buy orders to disguise the support level or induce more signals to create a price anchoring effect.
If opening a position is his bet, then the market is his "showing chips". This move is not just for making money, but more of a gesture to the market: I am here empty, do you dare to blow me up? Of course, no matter how perfect the short-selling defense line is, it still has to face an ultimate question: Will the market take it? The answer to this question is often found in technical graphics - because the price pattern is always a projection of the trader's psychology.
Technical analysis: The liquidation line is not only a risk line, but also a long-inducing line
$110,826, on the surface, is the liquidation position of the whale's $115 million short order, but in fact it has almost become the long-short magnetic pole of the entire market - the sniper target of the longs and the last line of defense of the shorts.
From the perspective of the K-line structure, this position is stuck above the double top resistance level and is close to the Fibonacci 78.6% retracement level, forming a typical "structural resistance zone". In the past two weeks, BTC has tried to break through many times but failed, indicating that a large number of stop losses and open positions have accumulated in this range. Because of this, it has a strong "detonating property": once it breaks through, it will trigger a chain of short covering and FOMO buying.
RSI: Although RSI has not yet entered the overbought range, it has shown a long arrangement. Once the price starts to reverse and RSI breaks through the key threshold, it may trigger the linkage entry of trend trading and chasing up. For bulls, this is the ideal sniper logic: 'Use liquidation as fuel and use the explosion point to detonate the upward momentum'.
AiCoin's main pending order data shows that the current buy order volume is significantly higher than the sell order. At the same time, from the perspective of chip distribution, the buying power is structurally dominant, indicating that there is a strong willingness to take over at the bottom of the market.
Therefore, this is not just a risk control red line for a certain whale, but a strategic high ground that the entire market "sees". Bulls know: Breaking through here is not just a pull, but passive buying brought by the liquidation of $115 million + panic shorts fleeing + trend entry, and the three together may complete the acceleration of the market.
Behind the battle of liquidation: This is not an ordinary market, but a carefully arranged battlefield
On the technical level of price, the liquidation line of $110,826 has become the magnetic pole of the struggle between long and short positions; but if we look at it one level lower, we will find that this attack and defense does not only occur between the K-line and the order book, but also occurs on the battlefield constructed by the trading platform mechanism.
Why did the whale choose to open such an extreme position on Hyperliquid? The answer is hidden in the platform rules.
Hyperliquid, as a decentralized perpetual contract platform that has emerged in the past year, its "rules" are changing the way of playing games:
Higher leverage: BTC supports up to 40 times leverage, far exceeding Binance's 20 times, so that a 3% price fluctuation may liquidate the whale's position. This means that a "short order of $100 million" can become a detonator with only a fluctuation of $3,000.
On-chain liquidation + off-chain matching: Improves efficiency, but may also amplify liquidation slippage. On March 12, a whale pushed up the liquidation price by withdrawing funds, causing the HLP vault to lose $4 millionIt is the side effect of this mechanism
No ADL mechanism + transparent liquidation: There is no automatic reduction of positions, and liquidation is completely executed by the system. Whales can place orders near the liquidation line to "set up a game" and use hypurrscan.io to achieve precise trading. However, the lack of a take-profit/stop-loss order book significantly amplifies the risk of slippage.
HLP vault endorsement but not unlimited acceptance: The current vault balance is US$351 million, but facing a US$115 million position that may explode, liquidity pressure under extreme market conditions will also cause concerns about price stability.
In short, this is a "constructible" battle scene: whales use platform mechanisms to shape the chip structure and risk exposure, while traders need to find safety boundaries and opportunity windows under this game rule.
Conclusion
In the short term, the tactical value of the liquidation line has surpassed the single position itself. USD 110,826 is not only the risk line of USD 115 million short orders, but also the critical point of market sentiment: the current price is less than 3% away from this, the funding rate is high (Hyperliquid BTC perpetual is +0.015% on June 13), and the dynamics of the main large orders reveal that the sell order wall has signs of collapse. Once the liquidation is triggered, it may form a multiple force of liquidation reverse push + FOMO chasing orders + trend entry, opening the BTC short-term acceleration window. In the long run, this incident reflects the new risk and strategy logic in the DEX era. This short order has become a "totem" of Bitcoin's short-term market.
If the market chooses to hesitate, the main selling wall is stable, RSI continues to consolidate, and MACD crosses without breaking, whales may sit on the Diaoyutai, and even use the rebound to push back to $105,000; but if the bulls work together to break through the liquidation price, trigger the liquidation, and technical indicators (such as MACD golden cross, OBV volume) cooperate synchronously, then the chain reaction brought by the liquidation will become the "fuel package" of the short-term market, and the target range may directly point to more than $112,000.
This is an offensive and defensive battle around a liquidation line, and it is also a microcosm of the new game mechanism in the era of high leverage.
We don't have to bet, but we must see clearly-every time a whale is liquidated, the market is re-marking: the limit
