A whale has placed a $368 million short position on Bitcoin with 40x leverage, betting on a price drop ahead of the FOMC meeting on March 19. The short was opened at $84,043, and if BTC surpasses $85,592, the position will be liquidated, triggering significant losses.
While the trader is currently up $2 million in unrealized profit, they’ve already spent $200,000 in funding fees.
Analysts warn that Bitcoin must close above $81,000 this week to avoid further declines. While the Federal Reserve is expected to hold interest rates steady, any hawkish surprise could accelerate selling pressure, making this high-stakes short trade a potential market catalyst.
Whale’s Short Position Fuels Market Uncertainty
The sheer size of this short position is amplifying bearish sentiment in the market. However, Bitcoin is consolidating around $83,500, and traders remain cautious ahead of the FOMC decision.
A break above $84,000 could liquidate shorts, driving BTC toward $86,670 or higher. Conversely, failure to hold support at $81,000 could trigger a deeper correction, potentially testing $79,900 and $76,600. All eyes are on BTC’s next move.
ECB’s Villeroy Warns of U.S. Crypto Risks
European Central Bank (ECB) official François Villeroy de Galhau has warned that the U.S.’s growing crypto embrace could create global financial risks. He pointed to previous crises that started in the U.S., accusing American regulators of negligence.
However, he dismissed fears of a European banking crisis, arguing that Europe’s financial system remains stable. He also called for a stronger euro through deeper savings and investment policies.
Meanwhile, Donald Trump’s pro-crypto stance has fueled optimism. His administration has reversed SEC enforcement actions against crypto firms and introduced a Strategic Bitcoin Reserve.
While Villeroy’s warning had little effect on BTC’s price, Trump’s policies have strengthened investor confidence.
Bitcoin Landfill Battle: Lost Appeal, Human Rights Case Next?
James Howells, a UK IT worker, has lost his appeal to search a landfill for a hard drive containing 8,000 BTC, now worth $660 million. The UK Court of Appeal ruled that his case had no realistic chance of success.
Determined to continue his fight, Howells now plans to take his case to the European Court of Human Rights, arguing property rights violations. With the landfill set to close between 2025 and 2026, his window to recover the lost Bitcoin is shrinking.
The case reinforces Bitcoin’s scarcity narrative, as lost coins further limit supply, potentially boosting long-term BTC price sentiment.
Bitcoin Price Analysis: Breakout or Breakdown Ahead?
Bitcoin (BTC/USD) is currently trading around $83,500, consolidating within a symmetrical triangle on the 2-hour chart. The 50-period EMA at $83,400 is acting as dynamic support, signaling indecision in the market.
- A break above $84,000 could trigger short liquidations, pushing BTC toward $86,670 and potentially $89,600.
- Failure to hold above $83,500 could lead to a retest of $79,900, with further downside toward $76,600.
For now, BTC remains indecisive, with the FOMC meeting likely to trigger Bitcoin’s next big move.
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