Crash

Bitcoin

Arkham

USDC

A trader with a history of high-stakes bets against Bitcoin has returned with another large short position.
Meanwhile, this move has raised concerns in the crypto space due to the timing and size of the trade, as well as past profits linked to market events.
<h2 id="whale-adds-392-million-to-bitcoin-short">Whale Adds $392 Million to Bitcoin Short</h2>
Financial analyst Jacob King reported that a whale known for shorting Bitcoin ahead of the last major drop has increased their short exposure by 140%, bringing the position to $392 million. The trader had previously taken a similar position before last week’s <a href="https://cryptopotato.com/analysts-see-2020-parallels-in-cryptos-19b-market-washout/" rel="noopener noreferrer nofollow">steep market crash</a> and walked away with substantial profits.
<blockquote class="twitter-tweet">
 JUST IN: Insider Bitcoin Whale who shorted the last crash, has boosted their short bet by a whopping 140%, slamming down a staggering $392 million wager that BTC will tank.
 <img src="https://s.w.org/images/core/emoji/16.0.1/72x72/1f6a8.png" alt="🚨" style="height: 1em; max-height: 1em;"> Bitcoin crash 2.0 incoming! <a href="https://t.co/ZwFOmp67nb" rel="noopener noreferrer nofollow">pic.twitter.com/ZwFOmp67nb</a>
 — Jacob King (@JacobKinge) <a href="https://twitter.com/JacobKinge/status/1977977579647782994?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">October 14, 2025</a>
</blockquote>

Arkham Intelligence <a href="https://x.com/arkham/status/1977749886452814185" rel="noopener noreferrer nofollow">described</a> the same wallet as the “Trump Insider Whale.” It shorted $700 million in BTC and $350 million in ETH hours before last Friday’s market crash, reportedly earning around $200 million.
The wallet has since added another $127 million in BTC shorts, after depositing $40 million USDC to the Hyperliquid platform. The total active BTC short is now close to $300 million.
<h2 id="wallet-linked-to-billions-in-crypto">Wallet Linked to Billions in Crypto</h2>
According to StarPlatinum, wallet address 0xb317… controls more than $10 billion in assets, including over 46,000 BTC and a large amount of staked ETH. The wallet opened a large short position just half an hour before the Trump tariff announcement on October 10, then closed with a reported $192 million profit. The activity has drawn attention due to the timing and size of the trades.
<blockquote class="twitter-tweet">
 This is the most dangerous address in crypto right now:
 0xb317d2bc2d3d2df5fa441b5bae0ab9d8b07283ae
 It deposited $40M USDC on October 13 and opened aggressive BTC shorts worth $343.6M
 (around 3,000 BTC at 10x leverage)
 This wallet belongs to a whale that controls over $10B in… <a href="https://t.co/ePIwwWsNQA" rel="noopener noreferrer nofollow">pic.twitter.com/ePIwwWsNQA</a>
 — StarPlatinum (@StarPlatinumSOL) <a href="https://twitter.com/StarPlatinumSOL/status/1977788777323225425?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">October 13, 2025</a>
</blockquote>

Domain records link the address to “garrettjin.eth,” which may be tied to former BitForex CEO Garrett Jin. Jin has denied any connection to the wallet. Still, the pattern appears consistent: large USDC deposits, shorts opened just before news breaks, and funds withdrawn after the price move.
<h2 id="community-raises-questions-over-timing">Community Raises Questions Over Timing</h2>
Some traders believe the timing is too precise to be random. EGRAG CRYPTO responded to the Arkham report, <a href="https://x.com/egragcrypto/status/1977757345330381207" rel="noopener noreferrer nofollow">writing</a>,
<blockquote>
 “If this whale makes money from this trade based on Trump announcement in the next hours or days, then he should be investigated.”
</blockquote>
Others echoed similar concerns, suggesting this may go beyond normal trading strategy.
Janis Kluge, a researcher at SWP Berlin, <a href="https://x.com/jakluge/status/1976950749814002087" rel="noopener noreferrer nofollow">added</a>,
<blockquote>
 “Crypto people are realizing today what it means to have unregulated markets: Insider trading, corruption, crime, and zero accountability.”
</blockquote>
Following the crash, over 250 wallets on Hyperliquid <a href="https://x.com/CMMHyperTracker/status/1977275319586603211" rel="noopener noreferrer nofollow">reportedly</a> lost millionaire status. Another trader reportedly opened a 40x long position on Bitcoin during the same period.
Binance, which was also mentioned in market rumors, denied any technical failure during the event and called the incident a “display issue.” As we <a href="https://cryptopotato.com/binance-explains-market-crash-and-reimburses-users-283m/" rel="noopener noreferrer nofollow">reported</a>, the platform said all core systems stayed online and confirmed $283 million in user compensation.
The post <a href="https://cryptopotato.com/massive-bitcoin-short-from-insider-whale-sparks-fears-of-market-crash-2-0/" rel="noopener noreferrer nofollow">Massive Bitcoin Short From ‘Insider’ Whale Sparks Fears of Market Crash 2.0</a> appeared first on <a href="https://cryptopotato.com/" rel="noopener noreferrer nofollow">CryptoPotato</a>.

Massive Bitcoin Short From ‘Insider’ Whale Sparks Fears of Market Crash 2.0

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