Do you know why the whale doesn't cover his insane short so you to keep piling in your money in overcrowded trade?
Because they buy spot ETH at other exchanges. The whale bough up 20k ETH at 200$ with his whale wall at Bitstamp when everyone panic sold. He is at least 1/3 hedged by spot ETH already.
But keep selling ETH it's obviously going to zero.
@james.nagle.31, can't speculate here but most shorts were opened at a 280 mark. And we have bitmex as well with 50x. I don't know where the bottom is but I am ready to speculate that a margin long with below 130 liquidation is a very safe play, below 150 somewhat safe and in terms of risk to reward is just extremely profitable play here.
@james.nagle.31, Hi, this is indeed a number or ETH in open interest right now. Can't speculate about the price though but yes at some point they will have to close it, with profit or with a loss. I am though completely sure whales are hedging their shorts by bying spot ETH at other exchanges. Chack out Dash shorts and how they made the price fly a week ago (DSHUSDSHORTS)