This morning I saw that Trump's media company plans to raise 3 billion dollars to 'go all in' on Bitcoin and other crypto assets, betting on digital assets supported by the U.S. stock Z administration. Anyway, the moment the news came out, BTC fell from above 110,000, with a drop of more than 1.30%. The king of understanding staged his own washout drama!
I'm wondering what this money will buy?
1. Buying BTC is certain, but will it be at a high position?
2. Their WLFI (note this is a major KOL) currently holds assets including BTC, ETH, TRX, etc., all with positions exceeding tens of millions of dollars; those below are not mentioned.
3. Will the previously released $TRUMP lead to another big pump?
4. Continue to issue new coins, 3 billion dollars, even if one-thirtieth is used for market making, the market value of new coins is very promising.
What else? Isn't the probability of 4 higher, haha! The U.S. stock market will open tonight, and currently, futures are up over 1%. BTC is still holding steady above 109. It's still a low liquidity moment, looking forward to the U.S. stock market opening tonight and how the U.S. will respond to events that happened over the weekend.
Many people are confused as to why BTC did not trigger liquidation on Hyperliquid even though it clearly reached his liquidation price (107,600) before James reduced his PEPE long position.
There are two reasons:
1. Exchange liquidators need to assess market liquidity before liquidation. For large orders like James's exceeding 700 million, if immediately liquidated at its liquidation price, it could trigger significant spikes, leading to liquidation risks. Therefore, liquidators usually give large holders some buffer space.
2. Liquidation is based on the marked price, not the spot price. The marked price effectively avoids errors caused by spikes. Additionally, there is an order queue during liquidation, and James's order may be close to or already in the liquidation queue.
Interestingly, just as James was on the brink of liquidation, BTC suddenly surged by 1200 points. I believe this is not James saving himself by buying spot, but rather a lot of smart money anticipating a potential upward spike after his liquidation, leading to fluctuations caused by early buying.
Today, the giant whale James Wynn's BTC long position was increased to 790 million dollars at 1 AM, currently with a floating loss of 5.82 million dollars.
Position situation: 40x leverage long on 7227 BTC, position value 790 million dollars. Opening price 110084 dollars, liquidation price 107580 dollars. Currently floating loss of 5.82 million dollars.
Currently, there is a significant divergence in BTC long and short positions. How will the market unfold? Based on the analysis of the main funds' movements in recent days, the following conclusions are drawn:
1. BTC contracts: The main force and some retail positions continue to decrease, which may be due to the main force actively reducing holdings or through shaking off retail chips.
2. BTC spot: Mainly reflects retail behavior, unrelated to the main force. Since May 22, spot positions have continued to decline, indicating that retail chips are being gradually washed out.
3. ETH contracts: Mainly for retail participation, the main force has not yet entered the contract market. Retail investors are entering and exiting frequently, indicating unstable confidence, and their chips are currently being cleaned out.
4. ETH spot: Dominated by the main force, who closed contracts during position building and turned to buy spot. This may involve using profits from contracts to purchase spot and withdrawing the principal.
Summary: The BTC main force is still in the market, actively washing out retail investors. The ETH main force has completed its spot position building, holding positions and waiting for the opportunity, or waiting for the market to 'catch the wind'.
Finally: 1 million market value entry into $T, catching the last train of BSC letter coins.
When playing memecoins, you have to follow the money. A while ago, ETH's Matt Furie IP was hot, so play ETH; now BSC letter series is hot, so play BSC.
Funds rotate between chains, making it easy for retail investors to be cut off. The key is not to chase highs, enter early to play leaders, and enter late to play derivatives. For example, $B, with a market value from 400 million to 1 billion, only doubles, but the downside risk is high, and the major players' exits are obvious, making it easy to become a bag holder when chasing highs.
