Bitcoin (BTC) has recovered significantly in the last month, returning to the $31,000 mark at one point, thanks to applications for bitcoin spot ETFs from asset management giants BlackRock, Fidelity, Invesco, VanEck, 21Shares, WisdomTree, Bitwise, ARK Invest and others. It is up 18.4% in the last 30 days.
In contrast, Ether (ETH) has only gained 5.5% over the last 30 days and has not made much of a dent, which has led to a steady decline in the ETH/BTC exchange rate over the last few weeks, from a high of 0.07088 on 5 June, it has fallen by over 11% to its current level of 0.06273.
ETH/BTC exchange rate. Source: Tradingview
Long ETH/BTC exchange rate jumbo whales take losses
It is worth noting that the falling ETH/BTC exchange rate has caused one long ETH/BTC whale to take a huge loss. According to Debank data, one whale had previously been cyclically long ETH/BTC by depositing ETH into Aave, lending WBTC to be converted to ETH, and then withdrawing coins to be deposited into Aave.
The whale has deposited 29,031 ETH into Aave and borrowed 1,100 WBTC since 26 May, and according to on-chain data analyst Yu Ashes, the whale withdrew (bought back) 1,100 BTC from Coinan in batches from 6/29 to 7/5 to repay the loan, as the ETH/BTC rate was 0.07 on 6/2 and is now 0.063. The whale is expected to be long ETH/BTC exchange rate investment realised a loss of $4 million.
Previously, a Twitter user argued that what the giant whale did was in fact leverage and would also blow up, not too different from opening a low multiplier contract, which Yu agreed with, mentioning "Yes, it is leveraged. Since it is leveraged, there is a risk of liquidation".
In contrast, Ether (ETH) has only gained 5.5% over the last 30 days and has not made much of a dent, which has led to a steady decline in the ETH/BTC exchange rate over the last few weeks, from a high of 0.07088 on 5 June, it has fallen by over 11% to its current level of 0.06273.
ETH/BTC exchange rate. Source: Tradingview
Long ETH/BTC exchange rate jumbo whales take losses
It is worth noting that the falling ETH/BTC exchange rate has caused one long ETH/BTC whale to take a huge loss. According to Debank data, one whale had previously been cyclically long ETH/BTC by depositing ETH into Aave, lending WBTC to be converted to ETH, and then withdrawing coins to be deposited into Aave.
The whale has deposited 29,031 ETH into Aave and borrowed 1,100 WBTC since 26 May, and according to on-chain data analyst Yu Ashes, the whale withdrew (bought back) 1,100 BTC from Coinan in batches from 6/29 to 7/5 to repay the loan, as the ETH/BTC rate was 0.07 on 6/2 and is now 0.063. The whale is expected to be long ETH/BTC exchange rate investment realised a loss of $4 million.
Previously, a Twitter user argued that what the giant whale did was in fact leverage and would also blow up, not too different from opening a low multiplier contract, which Yu agreed with, mentioning "Yes, it is leveraged. Since it is leveraged, there is a risk of liquidation".