Behind the "whale's checkout exit" lies the risk of high-leverage liquidations. If retail investors blindly follow the trend, they may very likely get caught in a wave of liquidations. Some whales amplify their positions through circular loans and high leverage, and once the ETH price experiences significant fluctuations, they may face the risk of forced liquidation. Previously, whale 0xa339 sold 30,894 ETH to avoid liquidation due to the drop in ETH price, incurring a loss of about $40 million. This time, selling 10,000 ETH for profit may have been to reduce leverage risk.
Historical data shows that high-leverage liquidation events of whales significantly amplify market volatility. A certain whale was forced to sell 18,517 ETH (worth about $56.45 million) to avoid further losses due to position losses. Such large-scale forced sell-offs not only lead to price crashes but may also trigger stop-loss orders from other traders, resulting in "cascading liquidations." Currently, in the derivatives market, the premium for Ethereum put options is higher than that for call options, reflecting a defensive market atmosphere. If retail investors leverage to enter, once the price retraces, they may very well become the "victims" of liquidation. It is recommended that retail investors stay away from high-leverage trading, participate rationally with their own funds, and reduce the risk of being swept up by market fluctuations.@男神说币 #巨鲸动向 $BTC
