AguilaTrades Bitcoin Loss Hits $40M After Bold Long Fails

Key Points

• AguilaTrades Bitcoin Loss Hits $40M After Bold Long Fails
• Total losses now near $40 million after failed BTC long
• $630M in crypto liquidations in 24 hours, mostly longs
• Some traders profited while high-risk players collapsed

AguilaTrades, once known as one of the most aggressive and closely-watched traders on centralized exchanges, has suffered a devastating blow. His entire position on the Hyperliquid trading platform was liquidated, bringing his total losses to nearly $40 million.

The trigger? A failed long position on Bitcoin, which collapsed following a broader crypto market pullback. The decline came amid renewed global economic tensions, driven by U.S. tariff hikes and fading hopes for Federal Reserve rate cuts.

It was a dramatic turn for AguilaTrades, which had only just staged a comeback. In late June, he was down $32.7 million, with losses peaking at $35 million in early July. But in a surprising mid-July rally, he clawed his way back to a $3 million profit.

Then came July 25. The market turned, and Aguila’s 720 BTC long, valued at over $83.3 million, was liquidated.

“From being down $35 million+, then clawing back to a $3 million profit, he’s now back even deeper in the red,” shared blockchain analytics firm Lookonchain on X.

Despite raising his position slightly after four smaller liquidations (as reported by OnChainLens), his entire portfolio was wiped out in a final liquidation sweep.

Crypto Market Performance. Source: Techtoken

The Numbers Behind the Carnage

This wasn’t just about one trader. The broader crypto market was hammered over the last 24 hours, shedding 6.9% in value and bringing the total market cap down to $3.83 trillion, according to BeInCrypto Markets.

Here’s a snapshot:

• Bitcoin (BTC) fell 2.8%

• Ethereum (ETH) dropped 3.8%

• 80% of the top 10 coins closed in the red

AguilaTrades(@AguilaTrades) has been fully liquidated, wiping out almost all of his funds on #Hyperliquid.

His total losses are now close to $40M!https://t.co/I0settVjjj pic.twitter.com/8RFOswWgex

— Lookonchain (@lookonchain) August 1, 2025

These losses triggered over $630 million in liquidations, with a staggering $570 million coming from long positions alone. For Bitcoin specifically, $141.93 million in long trades were liquidated, compared to just $7.4 million from short trades, according to Coinglass data.

Interestingly, while the broader altcoin market also dipped, recent momentum in altcoin-ETH pairs has kept some traders optimistic about potential rebounds.

The takeaway? Traders betting on price increases were hit hardest. And with leverage amplifying even small price drops, traders like AguilaTrades didn’t stand a chance once the market turned.

One Trader’s Loss Is Another’s Win

While AguilaTrades and others suffered massive losses, a few traders capitalized on the chaos.

Take 0xCB92, for example—a lesser-known trader who opened a 20x leveraged short on ETH. The move earned him more than $3.7 million in profit. His success was celebrated by blockchain analysts and drew a sharp contrast to the losses experienced by big-name traders.

🚨 AguilaTrades Fully Liquidated on Hyperliquid 💥

Once a top CEX trader, AguilaTrader lost nearly $39 million after being wrecked on-chain.

Every long and short got counter-traded.

A brutal reminder: public PnL = public target. pic.twitter.com/xtwXd3xiiv

— Zia ul Haque (@ImZiaulHaque) August 1, 2025

Another trader, James Wynn, wasn’t as lucky. Known for his bold plays, Wynn lost over $1 million in a failed PEPE long position, leaving just $14,850 in his account. Ironically, Wynn had posted a $500K profit just a week earlier, marking his biggest gain since late May.

James Wynn(@JamesWynnReal)’s $PEPE long position in another wallet also got hit with a cascade of liquidations, with total losses exceeding $1M, and only $14,850 left in the account.https://t.co/PWowfvwpprhttps://t.co/sUUY9oslok pic.twitter.com/xY5l6jZgq9

— Lookonchain (@lookonchain) August 1, 2025

This split outcome highlights the high-stakes, zero-sum nature of leveraged crypto trading. When one trader loses, another often gains. And on-chain, where positions are visible in real time, the game becomes even more brutal.

“Once a top CEX trader, AguilaTrader lost nearly $39 million after being wrecked on-chain. Every long and short got counter-traded. A brutal reminder: public P&L = public target,” tweeted crypto influencer Zia ul Haque.

AguilaTrades Hyperliquid Loss. Source: HyperDash – Techtoken

Meanwhile, some investors are shifting attention to more stable strategies, including USDM stablecoin adoption, which offers price protection without sacrificing blockchain utility.

What This Teaches Us About On-Chain Trading Risk

The downfall of AguilaTrades isn’t just another trader fail, it’s a cautionary tale.

Platforms like Hyperliquid allow users to take on high levels of leverage, often up to 20x or more. This means even minor market moves can wipe out positions. While leverage magnifies gains, it amplifies risk even more.

When traders broadcast their positions or gains publicly, it opens the door for sophisticated on-chain players, bots, and whales to counter-trade them. Once someone becomes a “public P&L,” they also become a public target.

Even experienced traders like AguilaTrades can fall victim to the volatility trap. He had the tools, the capital, and the market insight—but one wrong bet erased it all.

This case also reveals a deeper psychological risk: overconfidence after a comeback. Aguila had just recovered from $35 million in losses. That win may have driven him to overexpose himself, thinking the worst was behind him.

Whale 0x720A exited Hyperliquid with a profit of $13.6M, then stopped perps trading and bought 3,322 $ETH($12.84M) spot.https://t.co/0hewUqchdv pic.twitter.com/T0A2uyjGUi

— Lookonchain (@lookonchain) July 31, 2025

But in crypto, especially with leverage, history has no guarantees. Every position is a fresh roll of the dice.

Some experts believe the market’s next direction could be influenced by evolving ETF and altcoin regulations. New developments in the crypto ETF altcoin rule are expected to impact institutional sentiment, possibly bringing more volatility or stability depending on the outcome.

And as Ethereum’s reserve levels grow—with recent on-chain data showing a $10B surge in holdings—some traders see a shift toward longer-term accumulation rather than high-risk trades.

For everyday traders, this serves as a blunt warning:

• Use leverage cautiously

• Avoid making your trades public

• Always have a stop-loss or exit plan

• Respect market volatility—it doesn’t care who you are

Even Ripple’s CTO recently fired back in the XRP utility debate, highlighting the wider conversation around crypto use cases beyond speculation.