The post Hyperliquid Oil Short Liquidations Hit $39M appeared on BitcoinEthereumNews.com.

Crude oil short sellers on Hyperliquid were hit with roughly $39 million in liquidations over 12 hours as oil prices spiked more than 30% in early March 2026, leaving leveraged bearish positions crushed by a macro-driven supply shock that had nothing to do with crypto. How Hyperliquid oil shorts were caught on the wrong side of the crude spike Between March 9 and March 12, 2026, aggressive short positioning in Hyperliquid’s CL-USDC crude oil contract collided with a violent rally in global oil prices. The result was a lopsided liquidation wave that overwhelmed bearish traders while barely touching longs. On-chain tracker Lookonchain reported on March 12 that whale wallet 0xF780 deposited 5.6 million USDC into Hyperliquid and opened a 90,000 xyz:CL oil short worth approximately $8.55 million. The position carried a liquidation price of $147.94. 5.6M USDCLookonchain said whale 0xF780 deposited this amount into Hyperliquid before opening the oil short. 90,000 xyz:CL (~$8.55M)Lookonchain said the named wallet opened this crude-oil short position on Hyperliquid. That whale was far from alone. When crude spiked more than 30% to nearly $120 a barrel on March 9, oil short sellers on Hyperliquid suffered $36.9 million in liquidations over 12 hours, compared with just $2.1 million for longs. The 18-to-1 ratio underscored how one-sided the positioning had become. Binance Square separately reported that total liquidations in Hyperliquid’s xyz:CL contract reached about $39 million over the same window. The single largest liquidation involved 72,178 CL shorts worth approximately $7.7 million. The scale of forced closures drew comparisons to crypto-native liquidation cascades. Events like the Drift Protocol incident on Solana demonstrated how quickly leveraged positions can unravel on decentralized platforms, though the oil squeeze was driven entirely by real-world commodity dynamics rather than protocol exploits. Why the oil move was a macro shock, not a crypto-native…

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Filed under: News - @ April 1, 2026 8:25 pm