On-chain counterpart increases DASH short positions significantly, with a $8.92 million position and a 70% unrealized profit

According to on-chain data monitoring, the Strategy address, dubbed the “counterparty” to MicroStrategy by the market, has increased its short position in DASH by approximately 26,000 coins (worth $1.92 million) over the past hour, bringing the total short position to $8.92 million. More notably, this address has ceased opening new positions for four consecutive days, with trading activity fully focused on increasing DASH short positions—this strategic shift reflects a clear bearish outlook on DASH’s future price.

Current Short Position Size and Profit Status

Since December last year, this address has been building its position, starting with an account size of about $20 million. Data shows that its DASH short position has already yielded substantial gains, but the liquidation price of $298 is far above the current market price of $62.15, indicating a significant safety margin.

Deeper Implications of the Strategic Shift

From Swing Trading to Single-Direction Focus

Previously, this address engaged in intraday swing trading with positions exceeding $100 million, frequently reversing positions on major cryptocurrencies like BTC and ETH. However, in the past four days, a clear change has occurred—no new positions are being opened, and the address has been continuously adding to its DASH short holdings. This increased concentration typically indicates:

• High confidence in DASH’s decline
• A shift from short-term swing trading to medium-term trend betting
• Active accumulation of larger short positions

Why DASH instead of Mainstream Coins

Data shows that DASH fell 14.72% over the past 7 days but rose 38.79% over the past 30 days—such a pattern of rising then falling often creates high-level shorting opportunities. The average entry price of $72.14 suggests the address built its position at a relatively high level, continuing to add after the initial entry, betting on DASH’s further decline.

Market Impact Assessment

Increased On-Chain Selling Pressure

A short position of $8.92 million is significant in the DASH market. According to data, DASH’s average daily trading volume is about $230 million, meaning this address’s short position accounts for roughly 4% of daily volume. This implies:

• The address has considerable market influence
• Continued accumulation of shorts could exert downward pressure on the price
• If stop-loss liquidations occur, they could trigger chain reactions

Significance Relative to MicroStrategy

This address is called the “counterparty” to MicroStrategy because its trading direction is completely opposite. MicroStrategy has been steadily accumulating BTC, while this address is shorting other coins. Currently, this strategy appears profitable, which may attract more funds to follow suit and short DASH.

Summary

This strategic shift by the address reflects large on-chain capital’s bearish outlook on DASH’s recent price trend. The unrealized profit of $1.26 million confirms that this judgment is currently correct, but the total position of $8.92 million and ongoing additions also indicate active position expansion. For DASH, this signals price pressure and risk factors that market participants should monitor closely. The key question moving forward is whether DASH can stabilize its price under on-chain short pressure or continue to break previous support levels.