Hyperliquid Giant Whale Record: Someone turned over overnight, and someone died from obsession

Written by: Frank, PANews

The whale on Hyperliquid became the focus of on-chain transactions. Here, the drama of getting rich and returning to zero is staged every day.

Digging deeper into the on-chain data, these giant whales show the style of thousands of people, some are “reverse indicators” who hold a lot of money but have been defeated repeatedly, some are “snipers” who lurk for half a year just to kill with one blow, and some are “cold-blooded machines” who use algorithms to harvest retail investors every second.

The data strips these big players of their mysterious coat. PANews selected the five most representative addresses on Hyperliquid: including the famous “Big Brother Maji”, a mysterious person suspected of having inside information, a market maker with billions of capital, and the recent “Turnaround Myth” and “Iron Head Army”. Through their thousands of transaction records, we seem to be able to find our own picture in these portraits.

Brother Maggie: Winning is like “bird food”, losing is like “crashing”

Speaking of Big Brother Maji, it seems to have become a contrarian indicator of the current market, from the huge loss of Friend.tech to the huge loss of contracts today. His trading operations are almost always negative teaching materials for practitioners or investors in the crypto industry. But the negative textbook is also a textbook.

After entering the Hyperliquid transaction, Brother Maji’s loss so far has reached $46.5 million. It can also be ranked at the top of the entire Hyperliquid trading loss list. Judging from the trading style portrait, Maji shows the typical characteristics of high win rate and low profit and loss ratio. His overall win rate is 77%, but his profit-loss ratio is 1:8.6, and in terms of holding time, his average holding time for profitable orders is 31 hours, but the average holding time for losing orders is 109 hours. This shows that he is more inclined to leave with some profits, but when encountering a losing market, he often chooses to carry orders until a huge loss or liquidation.

Overall, his short-term market judgment ability is indeed more accurate, but in the setting of his trading strategy, he always risks a loss of up to $8.6 to win $1.

However, in actual trading, his overall position remained at a profit of $15 million before the market crashed on October 11. After the crash on October 11, his overall profit turned into a loss of more than 11 million due to the liquidation of multiple orders such as XPL and ETH. Subsequently, with more operations, he was getting farther and farther away from returning to his capital.

Analyzing the root cause of Maji’s loss, there are two characteristics that have become his fatal flaws.

One is the “dead long”, in all trades, 94% of his trades are long, and only 6% are short. Among them, long losses of $46.88 million and short profits of $380,000. In the midst of market declines, this unilateral style is fatal. The second is to cover the loss and make up the position, without stop loss. Among his many large loss-making orders, it can be seen that when his order is on the verge of liquidation, his first choice is often to add margin rather than stop loss. This also led to his increasing losses. Generally speaking, Brother Maji’s profitability can be described as winning like “bird food”, losing like “crash”, from the analysis of trading psychology, Brother Maji has obvious flaws in several aspects such as aversion to losses, refusal to admit mistakes and sunk costs, which cannot be learned.

10.11 Open the “insider” boss: A cold-blooded sniper

If Brother Maji is a hot-blooded warrior with a machine gun, this boss is a sniper who ambushes for three days only to pull the trigger once.

He traded very infrequently, completing only 5 trades in half a year, and had a win rate of 80%, making $98.39 million. And, unlike Maji, who kept depositing, this whale kept withdrawing money.

His most famous transaction was to deposit $80 million to short BTC on October 11 and withdraw it five days later with a profit of more than $92 million. After completing that shocking deal, he did not fall in love with the war, but continued to exercise restraint. Then on October 20, he opened a short again to earn $6.34 million, and although he lost $1.3 million in the long order on November 8, it was a drop in the bucket compared to the previous profit. Currently, his account still holds $269 million worth of ETH long orders, with a floating profit of about $17.29 million. Judging from the characteristics of the transaction, this bigwig, who is considered to have insider information, is like a lurking crocodile, easily immovable, bites off the largest piece of meat in the market as soon as he moves, and then walks away.

Market makers with $1 billion in capital: Dominating the market with algorithms

0x5b5d51203a0f9079f8aeb098a6523a13f298c060 This address is currently the number one in terms of profitability on Hyperliquid. If the first two are “gamblers” and “hunters”, this is the market maker-level super whale. So far, the address has deposited a total of $1.11 billion into Hyperliquid and then withdrawn $1.16 billion. The current floating profit is about $143 million.

He is characterized by opening several huge bottom positions, such as short orders for multiple tokens such as ETH currently held. Then through the algorithm to frequently increase and reduce positions to achieve profits, this forms two ways of income, one is the trend of short order profit, and the other is to eat up the arbitrage space of the market through high-frequency trading.

According to detailed analysis, not only are the addresses with the highest profitability such traders, but the second and third addresses are also whales who arbitrage in this way.

Taking the second-ranked address as an example, 51% of his trades are pending orders, and he makes small fluctuating profits by placing buy and sell orders above and below the market. Although the size of such a single transaction is small, only $733, the address completed 1,394 coins in one day, and the profit at the end of the day can reach tens of thousands of dollars.

However, this kind of whale operation has little reference value for retail investors, because whales not only have rate advantages, but also have high-speed quantization programs and hardware support.

The most recent week has been the highest: step by step

This address is not actually among the whales, as it has entered the range of PANews’ attention due to its very high yields in the last week.

In terms of the scale of funds, this address previously invested a total of about $46,000, which looks like an ordinary retail investor. Judging from the results of past trading operations, until the end of November, his account funds were also constantly decreasing, with a loss rate of 85%. At this stage, he is a typical loser, with messy operations and dead on small coins.

However, after December 2, he seemed to have changed someone, or perhaps found a trading holy grail, and by December 9, he had won all 21 games. And pulled the principal all the way from $129 to $29,000, playing an exponential growth curve.

On December 3, he tentatively opened a position with a position of 1 ETH and made $37. On December 5th, I confirmed that I felt that the position was increased to 5-8 ETH, and I made about $200 in a single transaction. On December 7, the position was increased to 20 ETH, and the single profit reached $1,000. On the 8th, the position increased to 50~80 ETH. Reach $4000 in a single profit. On December 9, the position reached 95 ETH, and the single profit reached $5,200.

The above is an overview of his recent operation process, from which he has made several changes. First, it stopped doing everything and moved to trading only one currency, ETH. Before that, he had a trading range of more than 10 species. Second, he no longer carries it and chooses a short and fast method, with an average holding time of about 33.76 hours in the past, but in the past week, his holding time has been shortened to 4.98 hours. It seems to have bid farewell to the loss of orders and shifted to the model of leaving with profits. Third, the position has changed from disorderly opening to “rolling” mode. This “rolling” model is usually a common method for the rapid growth of small funds.

However, while his profitability has become faster, the leverage has also become higher. In past trades, his leverage ratio averaged 3.89 times, which has recently risen to around 6.02 times. This also amplifies his trading risks, as at the time of writing, his recent ETH position has generated a loss of more than $9,000 due to the rapid rise in the market, which has caused his profits to start to lose nearly half. The income curve has also changed from an increase in the upward index to a cliff-jumping decline.

Overall, this change in trading style does make him stronger, but also more vulnerable, and whether he can recover his losses depends on how he handles losing orders and maintains a high win rate.

Iron Head Army: The tragedy of the dead man

Compared to the traders mentioned above, this whale’s style is more like a staunch bull believer and a “victim” of SOL.

The whale’s total entry reached $236 million, with a long order ratio of 86.32%, and out of more than 700 trades, 650 orders were long. On long orders, he lost more than $5.87 million, but made a profit of $189,000 in short selling. Although he lost more than 5 million yuan overall, this drawdown (about 2.4%) is still within control compared to his turnover of more than 200 million. But his biggest problem is the structure of his positions.

His loss structure is very peculiar, and almost all profits are eaten up by SOL one coin. Among the tokens he has traded, FARTCOIN and SUI have made profits of more than $1 million, and ETH and BTC have also made profits of nearly 1 million. SOL’s single loss reached $9.48 million. If you exclude SOL’s losses, he is actually a very good trader (with a cumulative profit of about $4 million in other coins). But he seems to have an obsession with SOL and has been carrying long orders on SOL, only to be repeatedly harvested by SOL’s short trend.

From his transactions, we can get the following enlightenment, even if you have more than 100 million funds, if you have “feelings” or “obsessions” for a certain currency, it can easily destroy you, especially not against the trend.

All in all, in this deep sea intertwined with whales, algorithms and insiders, there is no so-called “holy grail of victory”. For ordinary investors, most of the operations of these whales are not replicable. The only thing we can learn from them may not be how to make $100 million, but how to avoid becoming a “carrying the bill” loser like Brother Maji, and not trying to use your limited money and speed to challenge those tireless algorithmic machines.

Respecting the market and respecting trends may be the most valuable enlightenment left to us by the market.