Bitcoin bull James Wynn is indeed facing a significant crisis, with losses nearing $100 million due to his highly leveraged bets on the cryptocurrency. Here's what's happening

- *The Liquidation*: Wynn's two significant long leveraged positions on Bitcoin were liquidated for almost $100 million after Bitcoin's price dipped below $105,000. The first position of 527.29 BTC worth $55.3 million was liquidated at $104,950, and the second position of 421.8 BTC worth $43.9 million was closed after Bitcoin sank to $104,150.

- *Current Situation*: Wynn still holds a long position of approximately 1,690 BTC, valued at roughly $178.78 million, with a 40x leverage. However, this position is currently at an unrealized loss of approximately $3.5 million, representing a negative return of 77%.

- *Risk of Total Liquidation*: Wynn's margin usage is nearing 100%, which would result in a total liquidation of his position. Although he recently made a deposit of $376,000 to bolster his defenses, any further decline in Bitcoin's price could trigger automatic forced sales.

- *Market Sentiment*: Bitcoin's price movement has been volatile, influenced by broader market trends and economic uncertainties. The cryptocurrency market has seen increased profit-taking, but this can potentially sustain the bull market, according to Santiment research.

- *Wynn's Trading Style*: Wynn has been known for making aggressive bets and has described himself as an "extreme degenerate" taking on high-risk leverage trades. He has previously made significant gains, particularly with his investment in the Pepe memecoin.