8 million margin with a 36% return, whales earning $2.88 million in 2 days, how hot is the altcoin craze

Recently, a certain whale address drew attention due to an operation on the Hyperliquid platform. According to the latest news, the address used $8 million in margin to go long on 11 different tokens, and within just 2 days, the unrealized profit reached $2.884 million, with a return of 36%. What market signals does this operation reflect?

Operation Scale and Performance

Margin and Leverage Configuration

The address deposited $8 million USDC as margin on Hyperliquid and subsequently opened positions in 11 tokens including IP, MON, XPL, STBL, PUMP, GRIFFAIN, VVV, AIXBT, HEMI, MAVIA, and STABLE. Each position ranged from $600,000 to $2 million, with a total position value of $13.76 million, indicating approximately 1.7x leverage.

This leverage ratio is relatively conservative. On platforms like Hyperliquid, investors can typically use higher leverage, but this whale chose a more cautious setup, indicating a strong risk awareness.

Reversal of the Profit Curve

According to relevant information, when the position was first opened, it was at a loss of $12,000, but within just 2 days, it quickly reversed to an unrealized profit of $2.884 million. This rapid turnaround indicates high accuracy in the long position and also reflects the strong market trend in altcoins during this period.

Among the positions, IP and MON performed the best, with unrealized gains of about $520,000, accounting for 18% of the total unrealized profit.

Strategy Analysis

Why choose these 11 tokens

These 11 tokens share common characteristics: relatively small market caps and high volatility. For example, IP (Story), which only launched in February 2025, has a market cap of about $730 million and a 7-day increase of 44.14%. Although such tokens carry higher risks, they also offer significant upside potential, making them the top choice for large investors seeking high returns.

The whale’s layout indicates confidence in the meme coin and altcoin sectors. While individual positions range from $600,000 to $2 million, the diversified portfolio spreads risk and amplifies returns through leverage.

Significance of Timing

The news indicates this operation took place on January 1, 2026, coinciding with the start of the new year. This timing often accompanies shifts in market sentiment and reallocation of funds. The large investor’s deployment into altcoins at this moment may be based on expectations of future market trends.

Market Signal Interpretation

There are several noteworthy aspects of this operation:

• Rising Altcoin Popularity: The large-scale deployment by this major player suggests that the altcoin market is attracting institutional-level attention.
• Increased Risk Appetite: Using $8 million in margin to control $13.76 million positions indicates a rising risk appetite in the market.
• Active Derivatives Trading: Platforms like Hyperliquid are becoming important venues for large investors’ allocations.

However, it’s important to note that such high-leverage operations can generate substantial gains in bullish markets but also entail significant downside risks. The success of this whale may not be easily replicated.

Summary

This operation, with $8 million in margin, achieved a 36% return in 2 days, reflecting large investors’ strong confidence in the altcoin sector and an increased market risk appetite. The 44.14% 7-day surge of the IP token demonstrates that these new tokens are indeed gaining market enthusiasm.

But it’s crucial to recognize that high returns come with high risks. The whale’s ability to turn losses into substantial profits within 2 days indicates a market consensus in this direction, but how long this consensus can last and how it will evolve remains to be seen. For ordinary investors, observing rather than blindly following is a more rational approach.