James Wynn Opens New 40x Bitcoin Short Worth $124K After Loss

Crypto trader James Wynn, known for his high-risk strategies on decentralized exchanges. He has once again made headlines after opening a new 40x leveraged short position on Bitcoin valued at $124,434. Just hours after being liquidated on a similar trade. According to data from Hyperliquid’s on-chain tracker, James Wynn’s total trading losses now exceed $23.3 million. This cemented his reputation as one of the most volatile traders in the crypto community.

A New Short After a Costly Liquidation

James Wynn’s latest position shows a 100% short bias. With no open long exposure and an average entry price of around $105,319. His unrealized loss stood at roughly $164, or -5.2%, shortly after opening the trade. The leverage ratio of 40x left no margin for error. It means even a small upward move in Bitcoin’s price could trigger a complete liquidation.

Earlier in the day, Wynn’s previous short was liquidated after Bitcoin surged above $106,000, wiping out nearly $100,000 in capital. On-chain records revealed a series of liquidation events between November 9 and 11. As Bitcoin’s rally caught over-leveraged shorts off guard. The trader closed multiple losing positions, each ranging between $40,000 and $300,000 in size. By the end of the liquidation wave, James Wynn’s account balance had dropped to less than $3,000.

Wynn’s Response and Market Reaction

Despite the losses, Wynn took to X to comment on Bitcoin’s breakout. “$BTC breaks $105K, tag a bull, they need to step in now!” he wrote. Doubling down on his bearish stance even after being liquidated . Pinned on his profile is a post promoting himself as the “King of Perps.” In this post, he encourages followers to trade on Hyperliquid. He also adds a referral link and a reminder about the risks of leverage.

However, the community was quick to respond with sharp criticism and caution. Crypto Influencer Joe called the move “a ticking time bomb,” warning that “40x in this market is straight suicide, not skill.” Others mocked the trader’s persistence. With one user joking that James Wynn was “speedrunning bankruptcy like it’s a side quest.”

Lessons from Wynn’s Trading Streak

James Wynn’s repeated use of extreme leverage has reignited debate over risk management in crypto trading. Analysts and traders alike highlighted the dangers of emotional, high-leverage positions, especially in a volatile market like Bitcoin. Commentator Krypto Tata summed it up: “When someone goes all-in with leverage and calls it confidence, that’s not strategy, it’s addiction to risk.”

Bitcoin’s sharp price swings have wiped out billions in leveraged positions over the past week. Consequently, it underscores the hazards of aggressive trading. Therefore, as Wynn continues to test the limits of leverage, his story stands as a spectacle. With a warning for traders chasing quick profits in crypto’s most unpredictable market.