Bitcoin Whales Accumulate Long Positions Amid Prolonged Negative Funding

Major traders on Hyperliquid have been establishing a long position in bitcoin for the past two months, with the price trend beginning to favor their stance. According to Glassnode data, the largest traders on the on-chain perpetual futures exchange have shifted from a net short to a net long position since early March, with the long bias expanding throughout April. This shift coincides with bitcoin's gradual ascent from the mid-$60,000 range in February to a recent high near $80,000. Hyperliquid has become the go-to platform for large traders over the past year, and a sustained long bias from this group often precedes spot bitcoin price movements by several days to weeks. The recent flip to a net long position in early March preceded the recovery from the mid-$60,000s, with the current positioning being the most aggressively long on record. Meanwhile, bitcoin perpetual swap funding across major exchanges remains deeply negative, with shorts paying longs to maintain their positions. This negative funding has persisted for approximately 47 consecutive days, one of the longest periods of bearish derivatives positioning on record. The combination of sustained negative funding and aggressive long positioning from Hyperliquid whales sets the stage for a potential short squeeze when spot prices break higher. In other news, the S&P 500 closed at a record high on Friday, marking its longest weekly advance since 2024. The recent US-Iran talks did not materialize, while Treasury yields declined following the closure of the Justice Department's probe into Federal Reserve Chair Jerome Powell, potentially paving the way for Kevin Warsh's confirmation as the next Fed leader. The impact of these developments on Hyperliquid's long positions will become clearer in the coming hours and days.