A high-stakes gambler known as “Falllling” has reignited attention on Hyperliquid after suffering $3.4 million in losses from short positions on Bitcoin (BTC) and XRP.
On-chain tracker Lookonchain reported on September 29 that the trader was partially liquidated as the market rebounded, closing out his leveraged shorts in the process. The positions included a $150 million BTC short at 40x leverage and a $154 million XRP short at 20x leverage, both taken through wallet address “0x9018.”
The losses mark one of the most significant liquidation events in recent days on the exchange.
New $17.6M XRP Short Adds More Pressure
Undeterred by the setback, @qwatio immediately returned with a fresh bet, shorting 6.17 million XRP valued at $17.6 million. The position carries a liquidation threshold of $2.9155, leaving little margin for error if XRP rallies. Analysts stress that a move above $2.90 could wipe out the new collateral, adding to the gambler’s mounting risk.
XRP has been volatile, slipping to $2.70 at monthly lows before a slight recovery to $2.80. Market data indicate that the token has remained down nearly 8% over the past 30 days, despite reaching an earlier high of $3.70 in August. The narrow trading range raises concerns of a potential breakout, with even small price surges carrying the potential to trigger cascading liquidations.
Market Reaction Highlights Risk of Short Squeeze
The trader’s bet came as XRP slipped to $2.70, marking monthly lows before a slight rebound. With an average short entry price of $2.71, any rally toward $3.06 could trigger a full liquidation.
The positions did not hold long. As the market rebounded, @qwatio was partially liquidated, closing his shorts on BTC and XRP, resulting in losses totaling $3.4 million, according to follow-up on-chain data. Undeterred, he reopened a 20x short position on 6.17 million XRP, worth $17.6 million, with a new liquidation price of $2.9155. His persistence underscores the extreme risk appetite characterizing leveraged traders on Hyperliquid.
XRP’s market performance has been turbulent. The asset peaked at $3.70 in August before retreating by more than 25% to September lows. Despite a modest recovery to around $2.80, the coin is down nearly 8% over the past 30 days.
XRP Price Chart| CoinMarketCap
Speculation about an XRP exchange-traded fund continues to swirl. Still, BlackRock’s digital asset chief has clarified that hurdles remain for such a product, adding more uncertainty to XRP’s near-term outlook.
Insider Bro Mirrors Losses in Similar Short Play
The case is not isolated. Another high-profile trader known as “Insider Bro” recently posted massive losses on Hyperliquid. After making headlines with a $3.785 million profit earlier in September, he lost $3.405 million in a comeback attempt, liquidating shorts on BTC and XRP within hours. Despite the setback, Insider Bro re-entered the market with a fresh 20x leveraged XRP short worth $17.62 million at an entry of $2.85.
Market analysts note that Bitcoin’s resilience above $65,000 added fuel to the liquidation pressure. Meanwhile, XRP’s trading volumes surged 15% in the past day to $1.2 billion across major exchanges, a sign that traders are circling the asset amid heightened volatility. Analysts warned that a break above $0.65 in XRP could ignite further liquidations, while support near $0.55 might offer temporary relief to short sellers.
The twin stories of @qwatio and Insider Bro illustrate the razor-thin margin between extraordinary profits and catastrophic losses in leveraged trading. Both traders remain active despite losing millions, highlighting the speculative fervor that continues to grip Hyperliquid’s derivatives markets.
Evans Kelvin
