Some of the largest Bitcoin holders, commonly referred to as “whales,” have recently taken an unusual step: placing high-leverage short bets just hours ahead of a planned announcement by President Donald Trump. According to data cited by crypto news outlets, positions with up to 40x leverage have been opened and this indicates an unusual shift towards bearishness among big money players.
TradingView.
What Are We Witnessing Now? On October 23, 2025, crypto-news site Cointelegraph reported that Bitcoin whales were amassing short positions as its price hovered near $110,000. Meanwhile, TradingView showed similar activity.
One whale, as identified by crypto-trader Kyle Chasse, apparently made deposits of USDC and initiated 40x leveraged short positions on Hyperliquid just prior to President Donald Trump’s White House statement.
Glassnode and TradingViewBot both note the options markets exhibiting “concentrated selling across the $109K-$115K range”, suggesting many traders may be taking action to hedge themselves even as prices remain elevated. But why do Whales Believe This Move?
Behind leveraged short positions are several compelling motivations:
Whales appear to be betting that Trump’s announcement will create market-moving volatility. Their timing indicates they expect either a negative surprise or expect potential downside. TodayOnChain.com shows this price increase and indicates risky bets are being placed for the announcement.
Failure to Break Key Resistance
Bitcoin’s inability to stay above $110,000-plus zone has created considerable anxiety among large traders, while an “liquidation cluster just above $106K” could serve as a near-term magnet for price. On TradingView this “liquidation cluster just above $106K” could act as a near-term magnet that pulls prices higher in short terms.
Leveraged bets expand both potential profit (and risk). Opening shorts at 40x leverage means even a relatively minor upward movement could wipe out their position; but profits multiply rapidly if prices decline; risk can therefore be high on both sides of the equation.
What Could This Mean for the Bitcoin Market?
Increased volatility: With these large leveraged positions in place, any sudden move in the price can prompt mass liquidations – leading to further mass liquidations events and further compounding them into each other.
Potential trap for the weak of heart: Should Bitcoin move contrary to what was expected (i.e., rallies instead of falling), forced buy-ins may cause the price to quickly accelerate upward.
Signal of Broader Sentiment: These whale actions indicate major players are not taking an overly optimistic view. Though markets may appear buoyant, large traders appear prepared for risk rather than simply riding along for the ride.
Key Levels to Monitor Support around $106,000 has been highlighted as a risk zone on TradingView, should prices stay above this liquidation cluster and avoid dropping. A breach could trigger short position cascading.
Word of Caution
Although this data shows significant shorting activity, this should not be taken as investment advice. On-chain wallet identities cannot always be verified and their trades–whether hedged or directionally bet–can often remain unclear. Leverage amplifies both gains and losses exponentially; hence any positions with high risks must be approached with caution.
The Bigger Picture This episode shows just how closely cryptocurrency markets have become intertwined with macro events and high-stakes trader behavior, such as whales positioning prior to public announcements – evidence of this intersection of politics, sentiment and leveraged financial vehicles within crypto.
Simply stated, the bitcoin market is watching closely–and perhaps nervously. When large players begin stacking shorts at 40x leverage, their message is clear: expect some volatility.
