Insider Whales Massive ETH Short Yields $3.24M Profit

• An unidentified insider whale takes profit from Ethereum shorts.
• ETH and BTC trades exceed $168 million combined.
• Analyst reports $3.24 million realized profit following market drop.

On August 1st, an on-chain analyst reported an ‘insider whale’ increased their ETH short position to 11,111.11 ETH, valued at approximately $40.25 million.

This action, hinting at bearish sentiment, led to a significant price drop and a floating profit over $3.24 million, affecting ETH and BTC market stability.

Insider Whale Amasses $168M Short Positions

An “insider whale” has significantly increased their short position in Ethereum, now totaling 11,111.11 ETH or $40.25 million. Expert @ai_9684xtpa details these trades, noting ETH and BTC shorts now exceed $168 million. This action follows a recent downturn in market prices.

The sharp price fall on August 1st facilitated a floating profit of $3.24 million from these positions. Data suggests the immediate market sentiment remains cautious, aligning with previous trends where August historically presented weaker market dynamics.

While major industry figures and organizations have not officially responded, cautious or bearish short-term sentiment has been observed in both ETH and BTC markets. The absence of institutional or large-scale funding tied explicitly to this trade compounds the uncertainty.

Market Volatility and Historical Whale Activities

Did you know？ Large whale activity, like the current case, often results in rapid price fluctuations and increased market volatility, echoing previous incidents where outsized short positions were strategically placed during periods of macroeconomic uncertainty.

Ethereum (ETH) stands at $3,648.68 with a market capitalization of $440.43 billion, reflecting a 3.34% decline over 24 hours. Trading volume reached $42.17 billion, marking a 22.51% increase. Despite recent gains of 48.01% over 30 days, ETHs price has dropped amidst shifting market conditions, as per CoinMarketCap data.

Ethereum(ETH), daily chart, screenshot on CoinMarketCap at 14:29 UTC on August 1, 2025.

Insights from the Coincu research team indicate possible regulatory attention if similar large whale trades persist. Historical volatility linked to such trades suggests market participants remain wary. Analysts highlight past events leading to amplified liquidity stress in DeFi spaces, which may influence future market behavior.