Top Bitcoin Trader Reverses $1.25B Position as Price Slips Below $108K
Trump’s Tariff Talk Rattles Markets While BTC Eyes Key Support Zones
Bitcoin’s price slipped below $108,000 heading into the weekly close on May 25, prompting one of crypto’s largest traders, James Wynn, to exit his $1.25 billion long position and open a short worth $110 million.
The sudden shift reflects mounting pressure from renewed U.S. trade tensions, particularly aggressive tariff threats from former President Donald Trump, which appear to have paused Bitcoin’s bullish momentum just days after hitting a record high of $112,000.
Bitcoin’s dip came as the broader market reacted sharply to Trump’s proposed 50% tariffs on EU imports and additional levies targeting tech industry giants. Traders pointed to a direct link between Trump’s rhetoric and the dip in crypto prices.
“More hot air from the Manipulator in Chief,” remarked Keith Alan, co-founder of Material Indicators, in a post on X (formerly Twitter).
Despite his critique, Alan noted that Bitcoin’s long-term trend remains intact, citing technical confluence around key support levels:
“The macro trend line and 2 key moving averages currently align with the 2025 Yearly Open at $93,500. As long as BTC holds above that level, the bull trend stands.”
Source: Truth Social
Short-Term Traders Brace for More Volatility
Others in the trading community are preparing for further dips. Popular analyst Crypto Tony stated that even a $4,000 drop from current levels would not invalidate the ongoing bull run.
Meanwhile, Merlijn The Trader pointed to a classic pattern: a CME gap at $107,230, suggesting Bitcoin may revisit that price to “fill the gap,” a known behavior in crypto markets.
BTC/USD 1-hour chart. Source: Merlijn The Trader/X
James Wynn Reverses $1.25B Long into $110M Short
The biggest shift came from James Wynn, a prominent trader on the Hyperliquid exchange, who closed a $1.25 billion long and flipped short with a $110 million position over the weekend. The rapid move stunned observers given the weekend’s low liquidity conditions.
“That’s a lot of trading for an illiquid choppy weekend,” noted trader Daan Crypto Trades on X.
The decision, first reported by analytics platform Lookonchain, was seen as a signal of near-term bearish sentiment among whales and professional traders, especially in light of the volatile geopolitical backdrop.
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