Insider trading allegations dismissed as crypto liquidations hit $189M in 12 hours

Over $180 million in crypto positions were liquidated within the last 12 hours as Bitcoin’s price surged past $111,000 in a volatile trading ￰0￱ from derivatives tracking platforms showed that liquidation volumes were heavily concentrated on decentralized perpetual exchange Hyperliquid, as Cryptopolitan reported earlier ￰1￱ to the latest updates from Coinglass, over $109 million in Bitcoin and $98 million in Ethereum positions were liquidated from short contracts within the last ￰2￱ event followed a recovery in Bitcoin prices that began late Sunday, extending well into early ￰3￱ 12-hour liquidation data.) October 20, 2025 The timing of the “Trump insider’s” trades, particularly his profitable short ahead of Trump’s tariff announcement, has caused some market participants to speculate that the trades could have been made using privileged information about the policy decision.

However, legal commentators say the case for insider trading would be difficult to ￰4￱ US law, insider trading charges require that the traded asset be classified as a security, which Bitcoin and Ethereum are ￰5￱ are recognized as commodities under the Commodity Exchange Act and therefore fall outside the SEC’s Rule 10b-5 jurisdiction under the Securities Exchange Act of 1934. “Insider trading requires a fiduciary duty between the insider and whoever trades on the information,” a former SEC official explained. “Unless you can tie the traders to someone within the administration who had such a duty, it would be tough to make a case.” The official added that proving such a connection would be difficult because government officials do not hold the same fiduciary duties as executives of private ￰6￱ if the trader had advance knowledge of a policy move, it would be nearly impossible to prosecute under existing insider trading ￰7￱ join the ‘short side’ Retail traders may be rushing to close their shorts to avoid getting rekt by the recent price rebound, but several whales have continued to add bearish ￰8￱ reported that two addresses, 0x8c58 and 0x939f, have opened new high-leverage short positions on Bitcoin, Ethereum, Solana, and XRP on ￰9￱ still seem bearish — adding more shorts. 0x8c58 deposited 5.38M $USDC to #Hyperliquid 2 hours ago to open a 20x short on 1,500 $ETH ($6.06M). 0x939f deposited 4.5M $USDC to #Hyperliquid over the past 20 hours, continuing his $BTC short position to 394 $BTC ($43.7M).

He… ￰10￱ — Lookonchain (@lookonchain) October 20, 2025 The first address deposited $5.38 million in USDC to open a 20x leveraged short on 1,500 ETH, valued at roughly $6.06 ￰11￱ trade, entered at around $4,063 per ETH, is still active with a $39,978.12 realized ￰12￱ second address has made even larger moves over the past 20 hours, depositing $4.5 million in USDC to open a 40x cross-margin short on 394 BTC, valued at $43.7 ￰13￱ trader also shorted Solana, XRP, and Ethereum in parallel trades worth ￰14￱ data showed that the Solana short, worth $11.38 million, was entered at $196.95, while the XRP short targeted 1.3 million tokens at $2.57 ￰15￱ trader’s Ethereum short, worth $2.63 million, was placed at $4,060.

All of the trades bar Bitcoin have so far recorded positives, and the account is currently valued at $13,842,195, per Hyperscan ￰16￱ you're reading this, you’re already ￰17￱ there with our newsletter .