Major Whale Switches to Long Position After $46M+ Loss on HYPE Short Trade
Following massive losses, the major trader has shifted strategy to align with Arthur Hayes' preferred trio of HYPE, ZEC, and NEAR, marking a dramatic reversal toward momentum-driven cryptocurrency positions.
A major cryptocurrency whale who persistently maintained a short position on HYPE throughout May's price surge has ultimately faced significant consequences as Hyperliquid's native token continued its upward trajectory.
Key takeaways:
- Trader has opened fresh long positions in Arthur Hayes' trinity coins: HYPE, ZEC, and NEAR.
- HYPE has extended its bull pennant breakout and is now eyeing a rally above $100.
Major trader flips HYPE position following $46.46 million loss
The trader identified as "loracle.hl" eventually exited his short position on HYPE this Tuesday, crystallizing a substantial loss totaling $46.46 million, as reported by data analytics platform HyperBot.
The trade additionally incurred over $54,000 in funding fee expenses, demonstrating the aggressive nature of his bearish stance against HYPE's upward momentum.
Immediately following the closure of his unsuccessful short position, Loracle.hl executed a complete reversal, initiating a 2x leveraged long position consisting of 82,200 HYPE tokens, valued at approximately $5.98 million, entered at a price point around $70.20, based on data from HypurrScan.
Within one day by Wednesday, this new position had already accumulated over $213,000 in paper gains as HYPE's price advanced to $72.80.
Major trader adopts net long stance on Hayes' "Holy Trinity"
The strategic shift executed by Loracle.hl extended beyond just HYPE exposure.
According to HypurrScan platform data, the whale simultaneously maintains long positions across ZEC and NEAR tokens, effectively establishing a comprehensive net long exposure to BitMEX co-founder Arthur Hayes' highly publicized "holy trinity" strategy: HYPE, NEAR, and ZEC.
As of Wednesday, the wallet showed approximately $5.98 million allocated to HYPE, $5.46 million positioned in ZEC and $2.63 million deployed in NEAR exposure.
These three combined positions had already generated aggregate unrealized gains exceeding $920,000, with the ZEC position leading at over $521,000 in paper profits, approximately $213,450 stemming from HYPE and around $185,900 attributed to NEAR.
This dramatic reversal indicates that Loracle.hl has abandoned his bearish thesis and aligned himself with the "holy trinity" momentum strategy.
Hayes has outlined ambitious price targets for each of these three tokens. His projections include HYPE potentially reaching $150 by August 2026, NEAR delivering a 20x return by 2027, and ZEC climbing 5x over the coming year, positioning them as his top high-beta trading opportunities beyond Bitcoin.
HYPE's bull pennant formation targets $105 price level
The bull pennant pattern breakout observed in HYPE maintains an upside price objective approaching $105, representing approximately 45% gains from present price levels.
This technical formation developed following the token's aggressive price advance in late May, subsequently followed by a consolidation phase characterized by descending highs and ascending lows.
Any potential price correction could find support at the 20-day EMA positioned near $60.70. For Loracle.hl, whose long position of 82,200 HYPE tokens was established around the $70.20 price point, a successful rally reaching $105 would generate unrealized gains of roughly $2.86 million, not accounting for funding fee costs.