1011 Insider Whale Expands Massive ETH Long Despite Multi-Million Dollar Drawdown

Cointelegraph is reporting activity on the 1011 Insider Whale which is closely monitored. The whale has just increased its existing large Ethereum long position in the past 24 hours. The number of total holdings has reached 203,340 ETH valued at around 578 million. This growth is experienced at a time when there is market uncertainty. The decision strengthens a definite bullish attitude towards Ethereum even with the current price pressure.

Failing to Recognize the Losses Does not prevent the Strategy

The growth was not painless. The whale has been sitting on an unachieved loss of about $61 million. Initial prices were said to be at an average of around 3,147 per ETH, but the current prices are below that mark. Instead of de-risking, the trader opted to pick size. This is an indication of confidence in either medium or long term recovery than the immediate price movement.

Onchain information shows preparation before the trade. Eight days prior to the launch of ETH long, the whale unstaked ETH. Soon after, the speech airdropped 614 468 ETH valued almost at 1.8 billion dollars in nine wallets. These measures imply the conscious placement of the capital, as opposed to the rash trading. Big players normally reorganize the liquidity and then proceed to implement high leverage policies.

Parallel Longs Are Optimistic on a Broad Market

The ETH position is not solitary. It also has 1,000 BTC in a 5x leveraged long with a value of approximately $87 million and 250,000 SOL in a 20x long with value of approximately 31 million. This exposure to diversified assets indicates trust in significant crypto assets. The trader also seems to be betting on a market wide recovery and not on a token recovery.

This strategy is characterized by leverage. High leverage is expedited to grow when market performance is improved. It also increases the loss in case the price goes down further. Recently, Ethereum fell below the price of $3,000 due to macroeconomic and sensitivity to rate. Further declining may create further pressure on liquidation. This is where the whale takes this risk in order to have asymmetric upside.

Merchants tend to follow the movements of huge wallets. This growth strengthens a bull story among certain market participants. It is also a reminder that conviction is not the only thing that can make one successful. Well-capitalized insiders experience significant drawdowns even. The second significant ETH action step can make or break this strategy as a legend or an expensive measure.