Major Hong Kong Hedge Fund Reportedly Broke Down During BTC Crash
Analysis
Price Impact
HighThe reported breakdown of a 'multi-billion-dollar hong kong hedge fund' and subsequent large-scale institutional unwinding, evidenced by unusual blackrock ibit etf trading volumes, is cited as a primary cause for bitcoin's rapid $30,000 decline.
Trustworthiness
MedThe information originates from analytics firm 10x research, which tracked institutional flows, lending credibility to the data. however, the specific 'hedge fund breakdown' remains market speculation and rumor, with 10x research urging caution before conclusive attribution.
Price Direction
BearishThe news explains a past event where a major institutional player's distress and unwinding of positions caused significant selling pressure, directly leading to a rapid decline in bitcoin's price. this confirms a strong bearish catalyst from institutional activity.
Time Effect
ShortThe reported event describes a rapid, concentrated selling pressure that occurred over a few weeks. while the immediate unwinding might be complete, the revelation of institutional vulnerability could sustain short-term caution or bearish sentiment as market participants digest the implications.
Original Article:
Article Content:
Cover image via U.Today Read U.TODAY on Google News Caught off guard The Asian connection Advertisement According to a new report from analytics firm 10x Research, market speculation is mounting that a "multi-billion-dollar Hong Kong hedge fund" has broken down. This has exacerbated the selling pressure that saw Bitcoin plunge from $90,000 to $60,000 in under a month. Caught off guard Of course, the sheer speed of the recent drawdown has puzzled analysts, and many were desperate to find answers. HOT Stories Ripple CEO Dubs New CFTC Committee 'Olympics Crypto Roster' Crypto Market Review: Shiba Inu (SHIB) Gains 5% as Volatility Rises, Ethereum (ETH) Tests Local Uptrend, Will Bitcoin Stabilize as Volume Hits $74 Billion? "Bitcoin’s rapid decline from $90,000 to $60,000 in just two to three weeks caught many traders off guard, both in speed and magnitude," 10x Research stated in their latest update. Advertisement The firm noted that trading volumes for BlackRock’s IBIT Bitcoin ETF exploded during the sell-off, which makes this crash rather peculiar. You Might Also Like Thu, 02/12/2026 - 19:44 Bitcoin Just Witnessed One of Largest Capitulation Events Ever By Alex Dovbnya Based on "the sharp increase in ETF trading volume" during this period, it is likely that the move was caused by large-scale institutional flows, hedging activity, and the unwinding of structured positions." Advertisement At the peak of the volatility, daily trading volume for the ETF "exceeded $10 billion," which was highly unusual. The Asian connection As noted by the firm, nearly all of silver’s gains over recent months occurred during Asian sessions. This shows that regional positioning and balance sheet deployment have played an outsized role in recent market moves. It is this specific concentration of activity that has fueled the rumor mill regarding a distressed entity operating out of Hong Kong. "In the absence of a clear structural framework, this has led to speculation that the potential distress or unwinding of a multi-billion-dollar Hong Kong hedge fund may be the primary cause of Bitcoin’s decline." However, 10x Research urged caution before pinning the entire market crash on a single entity. #Bitcoin News