Whale Loses $250 Million on Ethereum Long, Retaining Only $53
February 2, 2026
The Hyperunit whale, an anonymous trader, recently suffered a massive loss of $250 million due to a bad bet on Ethereum. Closing a long position on the cryptocurrency, the trader’s account on the Hyperliquid platform plummeted to a mere $53. This drastic loss was a devastating blow, leaving the trader in a precarious financial situation.
This significant decline in wealth was a result of the trader exiting the market during a downturn. With Ethereum’s price dropping by around 10% in just one day, reaching $2194, the trader faced substantial losses. As of January 29, analysts noted that the whale’s unrealized loss exceeded a staggering $130 million, highlighting the severity of the situation.
The Hyperunit whale, also known as Garrett Jin, first gained attention in October 2025 when he made $192 million from short positions on Bitcoin and Ethereum. This windfall occurred just minutes before former U.S. President Donald Trump announced 100% tariffs on Chinese imports. Although suspicions of insider trading arose, no evidence was found to support these claims.
Despite this initial success, the trader shifted his strategy toward long positions. By mid-January, he had amassed a long position in Ether worth over $730 million, with his total exposure exceeding $900 million. However, this risky move ultimately led to catastrophic consequences, resulting in the loss of a vast sum of money.
The trader’s downfall on the Hyperliquid platform did not entirely bankrupt him. According to reports, he still holds approximately $2.5 billion in assets across other wallets. Nonetheless, data from Lookonchain reveals a grim reality for top traders on the platform, showing that all eight traders who initially made significant profits eventually lost their deposits.
This unfortunate episode serves as a stark reminder of the perils associated with high leverage investments in the world of cryptocurrency trading. Despite claims of insider trading being previously denied by the co-founder of Hyperliquid, this incident underscores the risks involved in speculative trading practices.
In conclusion, the Hyperunit whale’s loss of $250 million after a failed Ethereum bet serves as a cautionary tale for traders operating in high-risk environments. This unfortunate turn of events highlights the inherent volatility of the cryptocurrency market and the potential consequences of engaging in leveraged trading strategies. As the saga of the Hyperunit whale unfolds, it underscores the importance of prudence and risk management in navigating the turbulent waters of digital asset trading.
