Bitcoin just had its strongest weekly rally since March 2023, and the move is hurting the bears. Onchain data shows Abraxas Capital holds a $783 million short position on Hyperliquid, a derivatives platform. That position, along with a combined $200 million short in ETH from Abraxas, Fasanara Capital, and Wintermute, is now being tested as the rally forces billions in bearish bets to unwind elsewhere.
The size of the short
Abraxas Capital's $783 million short on Hyperliquid is one of the largest single positions on the platform. The position is visible onchain, which is unusual for traditional finance but a staple of crypto perps. That size makes it a target when the market moves sharply.
The ETH side
Abraxas isn't alone. Along with Fasanara Capital and Wintermute, the trio holds 138,569 ETH in short positions across onchain venues. That's a substantial amount of ETH exposed to the same direction. When Bitcoin rallies, it often drags Ethereum up with it, putting those shorts under pressure too.
The unwind
Bitcoin's rally is forcing billions of dollars in bearish bets to unwind across the market. This is the classic squeeze: positions taken on leverage get liquidated when the price runs against them. The data shows these shorts are still open, but the rally is doing the talking. The question is how long they can hold.
