Crypto Traders On Bybit Using Leverage Made Big Gains as Bitcoin Broke $30k

During the past month, Bitcoin has been on a bull run and broke the important $30.000 level on the 11th of April. While this rise in price has been a boon for all Bitcoin holders, those using leverage on certain crypto exchanges have made particularly large gains.

The leverage ratio used by each trader represents the amount of money borrowed on their total account balance. For example, should a trader use a leverage ratio of 2.50 on an exchange, they are borrowing 2.5 times the funds they have to invest.

According to data collected from CryptoQuant, traders on Bybit, which has the highest bitcoin leverage ratio of all exchanges at 2.50, made a profit of 115.85% during the month of April based on an initial account size of $1,000. A trader who started with $1,000 on Bybit in March would have made a profit of $1,158.50 by the time Bitcoin broke $30.000.

ExchangeLeverage RatioTotal Position SizeBitcoin Price IncreaseProfitProfitability
Bybit2.50$2,50046.34%$1,158.50115.85%
Gate.io1.39$1,39046.34%$643.1964.32%
OKX0.32$32046.34%$148.2814.83%
Binance0.24$24046.34%$111.2211.12%
BitMEX0.16$16046.34%$74.157.42%
Huobi Global0.16$16046.34%$74.157.42%
Bitfinex0.01$1046.34%$4.700.47%
Kraken0.01$1046.34%$4.700.47%

Gate.io, which has a leverage ratio of 1.39, also saw big gains during this period, with traders making a profit of 64.32%. Assuming a hypothetical account balance of $1000, the average trader on Gate.io made a profit of $643.19.

Other exchanges with lower leverage ratios also saw gains, albeit on a smaller scale.

OKX traders had a relatively low leverage ratio of 0.32 and profited only 14.83% as Bitcoin pushed through the $30k level and amounted to an average profit of $148.28

BitMEX, Huobi Global, Bitfinex, and Kraken, all of which have very low leverage ratios ranging from 0.01 to 0.16, saw traders make profits ranging from 0.47% to 7.42%.

The rally started with a liquidation of $187 million worth of Bitcoin

The Bitcoin short ratio on March 13th provides evidence that the bull run started with a massive short squeeze that liquidated a total of $187 million worth of short trades according to Coinglass.

Source: TradingView

As short traders were forced to close their positions either due to outsized losses or liquidation, long traders saw an initial spike of +19.03% gains on March 13th.

The positive breakout continued to liquidate short positions until the 20th of March and from here the rally was purely fueled by the new positive sentiment.

At the time of writing, Bitcoin traders are positioned for another positive leg up with a high imbalance of long bets according to BTCUSD Short data from TradingView.

Anton Palovaara
Anton Palovaara

Anton Palovaara is an expert leverage trader with decades of experience trading stocks and forex through proprietary software. After shifting over to leveraged crypto trading in derivatives and futures contracts he has become an influential figure in the cryptocurrency industry. Anton's trading strategies have helped numerous investors achieve significant returns on their crypto investments. With a keen eye for market trends and a deep understanding of technical analysis, Anton has developed a reputation as a shrewd trader who is not afraid to take calculated risks. He has a track record of predicting market movements accurately, and his insights are highly sought after by crypto traders and investors alike.

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