A Hyperliquid whale increased a major S&P 500 short as traders reduced risk across stocks and crypto. Lookonchain reported that wallet 0x97f8 opened a 50x xyz:SP500 position worth $111.6 million before raising exposure to $147.6 million.
Lookonchain flagged the trade in an X post. The platform said the whale shorted 15,001 xyz:SP500 contracts on Hyperliquid. The initial liquidation price stood at $8,294.9. After the whale expanded the S&P 500 short, the liquidation price moved to $8,067.34.
Lookonchain also reported that the position showed an unrealized profit of about $977,000 after the increase. The trade drew market attention because of its size and 50x leverage.
Some users on X claimed the wallet may belong to James Wynn. However the claim remains unconfirmed.
Analyst Master of Crypto also linked the trade to James Wynn. The analyst described Wynn as a high-leverage Hyperliquid trader known for repeated liquidations and major losses.
He highlighted that Wynn once turned $100 million into about $900. It also said he faced six liquidations in two weeks and lost $98.5 million over several months.
Market views on S&P 500 futures remained split. Analyst The Best Supply & Demand Trading said the index had touched a daily demand zone inside a weekly demand area before a sharp rally.
The analyst said that structure could support a stronger upside move from recent lows. That view contrasts with the large short position opened on Hyperliquid.
Source: X
Broader market conditions also turned weaker. The S&P 500 and Nasdaq fell Tuesday after a rebound in technology shares faded.
(adsbygoogle = window.adsbygoogle || []).push({});Geopolitical risk added more pressure. President Donald Trump said the United States must respond after Iran allegedly shot down a U.S. Apache helicopter near the Strait of Hormuz. Trump wrote on social media that the helicopter had been patrolling the area overnight.
Bitcoin also moved lower as traders cut exposure before the Federal Reserve decision. BTC slid near $62,000, while Bitcoin fear reached extreme levels. The Crypto Fear and Greed Index fell to 10. The index had also stood at 10 a day earlier, compared with reading 47 a month ago.
Source: Alternative
Traders now expect a Fed pause at the June 16-17 meeting. CME FedWatch data showed a 98.2% probability that policymakers will keep interest rates unchanged. Data showed a 1.8% chance of a rate cut. Markets assigned no meaningful probability to a rate increase.
Source: FedWatch
However, crypto market capitalization dropped 2.46% over 24 hours to about $2.14 trillion. The Hyperliquid whale trade, weak Bitcoin sentiment, and Fed pause expectations show caution across the wider crypto market.
Related: U.S.-Iran Talks Strain as Trump and Tehran Compete to Claim Victory
