From a loss of 100 million to a floating profit of 750,000, behind James Wynn's 40x leverage high-stakes gamble

Renowned trader James Wynn has made another move, this time increasing his BTC position with 40x leverage long, while continuing to hold a PEPE 10x leverage long. According to the latest monitoring data, his total position size has reached $14 million, with unrealized gains exceeding $750,000. Behind this figure is a trader who once lost over $100 million on Hyperliquid, making a bold turnaround half a year later.

Position Details: Size and Risk Coexist

Current Position Size

Based on the latest monitoring, James Wynn’s current holdings are as follows:

Total position value is about $14.13 million, with unrealized gains over $800K. These figures are updated in real-time and will fluctuate with market movements.

Risk Indicator Analysis

The risk associated with the 40x leverage BTC long position warrants special attention. According to data, the current BTC price is $92,613, with an average entry price of $91,332, which implies:

• Limited unrealized profit margin (about 1.4% price increase)
• Liquidation price around $86,000
• If BTC drops below $86,000, the entire long position faces forced liquidation
• This means a mere 7.1% decline in BTC price could trigger liquidation

Under such high leverage, any sudden market volatility could lead to rapid liquidation.

Background Story: From “Bankrupt Whale” to Re-emerging

The reason James Wynn’s recent activity draws attention is not only due to the large size of his holdings but also because of his unique background.

According to records, about half a year ago (mid-2025), Wynn experienced a devastating loss on Hyperliquid—totaling over $100 million, including $87 million in unrealized gains and $21.77 million in principal. This made him a well-known “bankrupt whale” on-chain.

However, recent days have seen a turnaround. Starting December 27, he used $10,000 to go long on PEPE with 10x leverage, turning his unrealized gains into $500K within a week. Coupled with recent new BTC longs with unrealized gains, his total unrealized profit has exceeded $750K. Behind this rapid comeback is his clear market judgment.

Market Context: Meme Coin Surge and BTC at High Levels

Wynn’s recent moves occur against a special market backdrop.

Data shows that PEPE experienced a violent surge in recent days, with a single-day increase of over 30%. Several catalysts include:

• Strong mobilization of the PEPE community, with slogans like “We Set Out at Dawn” igniting FOMO among retail investors
• Short squeeze effect, with precise突破 of key resistance levels triggering大量止损盘
• Wynn publicly predicted on January 1st that PEPE’s market cap would grow from the current $1.7 billion to over $69 billion, a highly provocative statement likely to attract follow-on buying

Meanwhile, BTC has also been steadily rising. Data indicates BTC has increased 2.76% over the past 7 days, with a current price of $92,613 and a market share of 58.72%. In this environment, bullish sentiment is clearly dominant.

Key Issues to Watch

Market Significance of Whale Movements

Records show that Wynn’s position adjustments often align with his public opinions on X (formerly Twitter). This suggests he not only trades but also acts as a “market sentiment indicator.” His aggressive position increases tend to attract retail follow-on, potentially pushing BTC and PEPE prices higher, but also accelerating declines if the market reverses.

Sustainability of High-Leverage Strategies

From a personal perspective, going from a $100 million loss to a $750K unrealized profit, Wynn’s trading strategy remains highly aggressive—40x leverage on BTC, 10x on PEPE. Such strategies can generate astonishing gains in a bull market, but once the market reverses, the risk of liquidation is equally significant.

Extreme Market Sentiment

The fact that a trader who once faced a $100 million liquidation can re-enter with 40x leverage within half a year reflects an extreme market sentiment. Such sentiment often comes with higher risks.

Summary

Wynn’s recent activity is a typical market signal: bullish sentiment is high, and aggressive traders are increasing their positions. His turnaround from a $100 million loss to a $750K unrealized profit may seem like a “comeback,” but overall, his account is still in recovery. More importantly, the risk of a 40x leverage BTC long remains enormous—only a 7% decline could trigger liquidation.

For market observers, this signal indicates strong bullish confidence but also serves as a reminder that high-leverage strategies carry persistent risks. Whale movements often reflect market sentiment, but their positions also embody extreme risk-reward trade-offs.