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    Wynn’s $23M Hyperliquid Gamble

    James Wynn, a cryptocurrency speculator renowned for employing significant leverage in his trades, has recently established two substantial leveraged positions: a 25x long position on Ether and a 10x long position on PEPE.

    According to blockchain analytics, Wynn’s Ether (ETH) position encompasses 3,269 ETH. This holding is valued at around $12.12 million, based on an initial purchase price of $3,726.28 per ETH. Furthermore, his long position in kPEPE (representing the $PEPE-USD futures contract on the Hyperliquid platform) includes an impressive 812.16 million tokens, currently worth approximately $11.28 million, with an average entry price of $0.01358.

    As of this update, Wynn’s PEPE investment shows an unrealized gain of $251,617. However, his ETH wager is experiencing a downturn of over $62,700. The ETH trade faces potential liquidation if the price declines to $3,492.8, while the PEPE position’s liquidation threshold is at $0.012998.

    Wynn initiated these positions following a deposit of 536,573 USDC (USDC) into Hyperliquid, a decentralized exchange facilitating perpetual futures contracts.

    Wynn’s new leveraged trading positions. Source: Lookonchain

    See Also: Hyperliquid advocates for continuous crypto trading in CFTC submission

    Wynn Resumes High-Risk Cryptocurrency Trading

    Earlier this month, Wynn appeared to withdraw from social media platforms after incurring substantial financial setbacks. His X account, formerly identified as “JamesWynnReal,” was deactivated around July 13, and his final bio update simply stated “broke.”

    However, the cryptocurrency trader returned to activity last week, opening two highly leveraged trades. These positions involved a 40x long position on Bitcoin (BTC), valued at more than $19.5 million, and a 10x long position on the meme-inspired cryptocurrency PEPE (PEPE), worth over $100,000.

    Wynn initially gained notoriety after a leveraged Bitcoin bet of $100 million was liquidated around May 30. This was followed by another significant loss of $25 million resulting from a subsequent position on June 5. He alleged that major market participants deliberately targeted his liquidation levels.

    “Good timing for a 40x long,” Wynn posted on X on Tuesday. “This isn’t financial guidance, of course. But, the market makers lack firepower.” Wynn added after opening his leveraged positions.

    Read More: Is a mystery whale’s $300M leveraged Bitcoin bet linked to James Wynn?

    Increased Short Selling Pressure on Ether

    Wynn’s aggressive bet on ETH arrives as the token experiences a surge throughout July. This surge is prompting a substantial short squeeze within the cryptocurrency sphere, according to analysis by The Kobeissi Letter. ETH has appreciated by 20% in a single week and grown its market capitalization by over $150 billion since July 1.

    With ETH/USD nearing $3,700 and targeting its highs from 2025, analysts are anticipating a move to $4,000 soon. Kobeissi estimates that an additional 10% price increase could trigger the liquidation of another $1 billion in short positions, especially given the high level of leverage involved.