Odaily Planet Daily reports, according to on-chain analyst Yujin, an address (0xc9db...5642) leveraged a cyclic borrowing strategy over the past year—collateralizing WBTC to borrow USDC, which was then used to purchase more WBTC—accumulating a long position of 742.8 WBTC at an average purchase price of approximately $89,137. Today, the address liquidated all 742.8 WBTC at $70,266 via FalconX, receiving 29.75 million USDC to repay its debt on Aave. This series of transactions resulted in a total loss of $14.02 million.
Whale Loses $14.02M in WBTC Liquidation After Year-Long Leveraged Trade
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Summary
Whale activity trading resulted in a major loss as a whale address (0xc9db...5642) liquidated 742.8 WBTC at $70,266 via FalconX, incurring a $14.02M loss. The whale had employed a leveraged loan strategy on Aave, borrowing USDC to purchase WBTC over the past year at an average price of $89,137 per WBTC. The trade, intended for long-term investment, backfired as prices fell below maintenance thresholds.
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