Semiconductor Sector Faces Pressure Amid Geopolitical Tensions

On March 31, the semiconductor sector experienced significant pressure due to ongoing geopolitical tensions and concerns sparked by a Google paper, according to BlockBeats. Micron Technology (MU) saw a sharp decline, closing down 9.9% and falling over 2.3% in after-hours trading. SanDisk (SNDK) also dropped more than 9% in total, while NVIDIA (NVDA) fell 2.4% during the day, impacting the entire sector. In this context, a major whale investor associated with Continue Capital, heavily invested in the semiconductor sector, particularly in NVDA and MU, faced potential liquidation. The investor's positions were at one point just 1.6% away from the liquidation threshold, marking it as the closest to liquidation among whales with holdings exceeding a million dollars. The total unrealized loss expanded to $2.32 million, with the investor still holding long positions worth $13.1 million, yet to be closed. The NVDA long position, with a 5x leverage, amounts to $7.58 million at an average price of $190, showing an unrealized loss of $1.13 million (-246%) and a liquidation price of $159.9. Meanwhile, the MU long position, with a 7x leverage, is valued at $5.52 million at an average price of $390, with an unrealized loss of $1.19 million (-270%) and a liquidation price of $310.