Persistent aggressive trading strategies suggest further financial danger due to volatility.
An investor, known by the pseudonym qwatio on the decentralized derivatives platform Hyperliquid, experienced significant losses after XRP’s price surpassed $2.894. The investor held a portfolio valued at approximately $18.6 million, heavily leveraged with positions in Bitcoin $0.000053 (40x), Ethereum $0.000056 (25x), Solana $164 (20x), and XRP (20x). The aim was to profit from declining prices; however, the surge in XRP’s value triggered a partial liquidation, resulting in losses exceeding $650,000. According to Onchain Lens data, the liquidation occurred on the morning of August 4, 2025, with the XRP’s rise inflicting the most damage, further exacerbated by Solana’s opposing movement.
ContentsXRP’s Surge Threatens Other High-Leverage PositionsInvestor’s Series of Significant Losses XRP’s Surge Threatens Other High-Leverage Positions
The data reported by Onchain Lens revealed that the triggered margin requirements led to a sweeping away of most of the short position from the order book. XRP’s price increase hit the liquidation threshold rather than the profit target, causing hundreds of thousands of dollars in losses on a single investment within the portfolio. Solana’s strong recovery added to the financial blow. Although Bitcoin and Ethereum shorts remain open, the high leverage continues to threaten these positions. Experts caution about the substantial risk profile, which could result in becoming a millionaire or ending up with nothing within seconds.
The $650,000 loss marks the most significant recorded XRP liquidation by this investor. The remaining position is vulnerable to market volatility, with the Hyperliquid margin ratio nearing a critical benchmark. As the investor’s liquidity buffer shrinks, further liquidations are likely.
Investor’s Series of Significant Losses
This same investor garnered attention in June after experiencing liquidation six times in three days, accumulating a $10 million loss. In July, a short portfolio initially worth $334 million was wiped out, leading to an additional $25 million loss. The first major long attempts in March, with leverage ratios up to 50x, coincided with rumors about the U.S. strategic cryptocurrency reserve, sparking discussions about insider information.
A dramatic decline in asset value occurred at the beginning of July, with the account balance dropping from $16.3 million to $67,000. The latest partial liquidation demonstrates the investor’s persistence with aggressive strategies, suggesting heightened danger with each new transaction due to high volatility. Analysts warn that such substantial leverage usage puts investors in a “win or lose” situation, indicating that margin erosion could continue.
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