The firm Abraxas is facing significant losses related to its high-risk short positions in the cryptocurrency market.
Losses from Bitcoin Positions
The largest losses are tied to a $344 million short position in Bitcoin, placed at 10x leverage. Currently, this position incurs a loss of $21.5 million.
Positions in Ethereum and Other Cryptocurrencies
The situation is even more severe with a $298 million position in Ethereum, which has accrued $72.6 million in losses. Additionally, the company has incurred losses from shorts in Solana ($69 million) and HYPE ($82.5 million). However, a $2.6 million SUI position has been a small win, currently up $178,000.
Strategy and Liquidation
Despite the mounting losses, Abraxas is far from liquidation. The BTC short will not be liquidated unless the price hits $161,605, while ETH's liquidation threshold is set at $5,342—both well above current market prices.
Abraxas' strategy reflects a high-risk, high-leverage approach that is being tested within the current bullish market environment.
