Woofun AI reports that the wallet 'pension-usdt.eth', operating under the display name 'Penision Fund', suffered a catastrophic $24 million loss on Hyperliquid after a two-month short position on ETH was forcibly closed.

The magnitude of this single event is stark when viewed against the address's prior performance; it had been one of the year's most successful short sellers, accumulating roughly $49 million in profits. This recent win streak included nearly $6 million from a 60,000 ETH short closed in June, $3.6 million from a 1,400 BTC short in the same month, and $1.7 million from another bitcoin short in March. Consequently, this latest liquidation erased half of everything the wallet had made.

Per Woofun AI, the forced sales occurred in five distinct chunks: first 9,989 ETH at $2,193, then 20,698 at $2,209, followed by 15,830 at $2,214, and 1,871 at $2,236. The final 1,417 ETH found no buyers, forcing Hyperliquid to absorb the asset into its reserve fund. Ether rose $43 during these 12 seconds, with the trader's own forced buying driving the price up and making remaining chunks more expensive to close. The position had been held for 1,445 hours, or a little over two months, during a period when bitcoin traded below $65,000 and betting against it appeared advantageous.

The catalyst for this reversal was Wednesday's Treasury buyback announcement, which triggered an 18% surge in ether over the past 24 hours and pushed bitcoin from $64,000 to nearly $70,000. The account is now effectively empty, with Hyperliquid's leaderboard showing the wallet holding just $35.61 and down 100% over 30 days. This represents $16.48 million in losses against $111.76 million of volume traded in that window.

However, this was not the largest casualty of the day; a $48.8 million bitcoin position on Hyperliquid was also liquidated. These events contributed to $2.74 billion of shorts liquidated across the market in 24 hours, marking the largest wave of forced short closures in records going back to 2021.