Bitcoin Whale Closes 2-Month Long, Banks $11.6M Profit

Two Months, One Exit

Blockchain analytics platform Lookonchain identified two addresses (0x5FA and 0x237) that may belong to the same trader. Both wallets closed their bitcoin long positions simultaneously, ending a trade that the individual had held for nearly two months.

The combined profit came in at $11.6 million, though the exact entry price and position size are still not known. The timing, quite obviously, aligns with bitcoin’s massive $20,000 jump to $81,000 on August 25 (a rally of more than 25% over the holding period).

Bitcoin’s push through $80,000 came the same day BitMEX co-founder Arthur Hayes argued in a new essay that the U.S. Treasury’s expanded bond buyback program marked the start of a fresh bull market for the asset, a thesis that dovetails with the exact window this whale held its position.

A Rally Built on Liquidations

The whale’s exit is just one of several developments that have contributed to bitcoin price moving by five figures. Data shows that BTC’s surge to $81,000 came as $225 million in short positions were liquidated from the crypto market within 10 minutes, a cascade that can easily move prices up.

Moreover, some large holders have used the run-up to lock in gains after months of sitting on paper losses for much of this year, given bitcoin has traded well below $70,000 during a sizable chunk of this time window. Others have continued adding to positions, betting the move higher still has room to run.

Bitcoin’s third quarter has stood out as one of its strongest since 2021, and price action in the back half of August has done much of the work. Whether the wallet action as described above represents smart money calling a local top, or simply a trader taking a disciplined profit after a two-month hold, stands to become clear only in the coming few weeks.

Bitcoin Price Levels Need to Stabilize

The next few days will be crucial for the market as retail traders and institutions alike will be curious to see if the $80,000 holds as a new support level or whether the aggressive short liquidations that fueled the latest leg give way to profit-taking pressure. Moreover, fears of a massive quantitative easing also loom large on the horizon, potentially affecting bitcoin price movements.

Lastly, with a growing With Hayes and other macro voices arguing that Treasury liquidity dynamics could push BTC toward six figures, the coming days should show whether whale exits like this one are the exception or the start of a broader trend.