James Wynn's liquidation of 240 BTC highlights the risks of extreme leverage as cascading sell-offs amplify Bitcoin's volatility.
With BTC pinned near $104,500 and Wynn's second position at risk, sentiment wavers between a breakout or further market capitulation.
Arkham data shows Wynn’s portfolio down 97%, reflecting the brutal consequences of aggressive long exposure in a high-volatility market.
James Wynn is back in the headlines again, and this time he’s been liquidated for 240 BTC, totaling over $25 million, in one of the most aggressive long unwinds seen in recent Bitcoin trading. The wipeout occurred within seconds as BTC plummeted below key support, triggering cascading liquidations across leveraged positions.
Major Liquidation Event Triggers Sell Cascade
Wynn’s massive 40x long position was liquidated after Bitcoin reversed sharply from its local high of $106,705. The breakdown pushed prices to $104,536, igniting red Supertrend signals on short-term charts and confirming intensifying bearish momentum.
Volume surged to 327.82K during the dump, exposing extreme market engagement as the 770.23 BTC Pre-Range Liquidity cluster was cleared. Bitcoin's market price sat at $104,547, in lockstep with its index price, reflecting no premium—only pure selling pressure.
CVD readings revealed that sellers took full control as BTC failed to reclaim $106,000. Order book heatmaps showed stacked sell walls near $104,546 with razor-thin buy-side defense, further suppressing upside momentum and increasing short-term downside risk.
Position Metrics Confirm Overleveraged Exposure
At the time of writing, Kaleo reported Wynn was still holding a second 776.92 BTC long with an entry of $106,067 again using 40x leverage. Liquidation was set at $103,857, just beneath the market price of $104,487, putting the trade within striking distance of a second wipeout.
The floating PNL showed -$1.22 million, while the margin used sat at $2.03 million. Funding costs added to the bleed, currently down $81,331. With market price hovering near support and volatility spiking, the setup reflects peak exposure under narrow tolerances.
Wynn later confirmed the position remained active, noting in a post that his BTC long was “intact thanks to the good guys.” Despite that, the price action remained trapped under a descending trendline, forming a bearish triangle with clear rejection near $106,000.
Arkham Data Reveals Portfolio Implosion
Arkham’s intelligence dashboard showed Wynn’s wallet now valued at $106,411—down massively from a peak near $4.5 million in 2023. His current holdings are 93.87% USDC, followed by small amounts of ETH, NFT, and VESA tokens.
https://twitter.com/arkham/status/1930262946266947815
Recent transactions show frantic activity: multiple USDC inflows, ETH sent to known addresses, and funds shifted to exchanges like Gate.io. While some see this as defensive positioning, others suggest it's the last gasps of a trader under siege.
What’s unfolding here suggests that broader forces are at play, with early signs hinting at either a breakout or a final flush. Bitcoin’s price is pinned between weak support and dominant sell walls, with sentiment torn between hope and capitulation.
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