An on-chain trader with the address 0x66f8 is building the largest Bitcoin short position in the market today. According to tracking by analytics account @lookonchain on X, this address continues to add to its on-chain short position, reaching a total of 2,136 BTC. At the current price range, the value of this downward bet reaches $136 million. The position is on a razor’s edge due to the use of leverage up to 40x.
With leverage that high, the liquidation point of this position is set exactly at $64,592.3. The distance to the liquidation level is only 1.2% away from the current Bitcoin price. If there is a slight upward price push that crosses this thin margin, all of the trader’s capital will be instantly wiped out. This narrow bet puts the trader in the most high-risk position within short-term market dynamics.
Who Will Dump Their Coins First
Desperate moves are also visible on the buyer’s side. Lookonchain also detected movement from a different trader holding 1,768 BTC worth $131.91 million. The main issue is that this trader bought those coins at a price of $74,603, right before the bull run stalled and the market reversed direction.
Currently, that long position is carrying a loss of $19.7 million. In response, the trader has started moving assets by depositing 114 BTC worth $7.24 million to the Kraken exchange. The decision to move coins to an exchange is highly likely made to sell them to cut further losses, a move that could add to supply pressure on open exchanges.
Becoming Immune to Macro Figures
Both pressures from market participants are unfolding as the Bitcoin price remains steady in the $64,000 range following the latest macroeconomic data release. The US Consumer Price Index (CPI) report for July 2026 came in line with market expectations. Headline inflation was recorded up 0.1% month-on-month (MoM) and stood at 3.4% year-on-year (YoY).
The core CPI component also aligned with estimates, rising 0.2% MoM and 2.5% YoY. Bitcoin’s price reaction to these inflation figures was highly subdued. Analysts assess that this sluggish response proves that the correlation between the main crypto asset and macroeconomic sentiment has weakened significantly. The market cares more about on-chain liquidation numbers than government data releases.
A different scenario played out for Ethereum. Shortly after the CPI data release, the price of ETH corrected by 2.4%, falling from $1,918 to hit a daily low of $1,872.
For market observers today, macro sentiment is no longer the trendsetter. Attention is fixed on the $64,592.3 price level. It is only a matter of time before either spot buyers push the price past that thin 1.2% margin to completely wipe out the $136 million short position, or a further decline pressures the peak buyer to dump their remaining coins. The real drama is a pure test of strength in enduring on-chain losses.
Reported from @lookonchain on X.
Also read: How to Read Candlesticks for Beginners
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
