Key Takeaways:
A trader has netted $5.6 million in just three days by strategically countering the trades of cryptocurrency expert James Wynn. The trading community is buzzing with speculation that Wynn may be engaging in private hedging or attempting to influence market sentiment.
Despite recent setbacks, including a loss of $36 million following a tariff threat from former President Donald Trump, Wynn maintains a substantial lifetime profit of $12 million from his trading endeavors.
The trader, operating under the wallet address 0x2258, has captured significant attention by executing a series of countertrades against Wynn’s publicly announced positions, as reported by the blockchain analytics platform Lookonchain.
On May 24, 0x2258 began to short Bitcoin and Ethereum just as Wynn was going long on Bitcoin. When Wynn exited his long position the next day, the trader closed his short, realizing a profit of $1.36 million.
Trader Reaps $2.54 Million as Wynn Shifts to Shorting
The following day, as Wynn transitioned to a short position, 0x2258 opted to go long on both Bitcoin and Ethereum, securing another $2.54 million when he exited the position on May 26. Upon Wynn’s return to a long Bitcoin trade later that day, the trader once again switched to a short position, accumulating an unrealized profit of $1.7 million based on Lookonchain’s recent data.
The highly synchronized nature of 0x2258’s trading activity and Wynn’s actions has raised eyebrows, leading some to speculate on the underlying strategies at play. Observers on X have proposed that the wallet could potentially be associated with Wynn, hinting at the possibility of clandestine hedging or market manipulation.
“If it smells like fish, tastes like fish, and swims like fish, it’s probably a fish,” one user commented, highlighting the peculiar correlation between the trades.
Additional theories have suggested that Wynn might be utilizing public losses as a means to enhance engagement while simultaneously safeguarding his positions through private wallets.
Wynn responded to the accusations quickly, refuting any connection to the wallet 0x2258. In a direct reply to Lookonchain’s post, he stated, “I only trade on one HL account and that’s public. Don’t start spreading fake news with zero proof,” he asserted.
As the identity of 0x2258 remains elusive, its remarkable performance has become a prominent topic in the cryptocurrency trading discourse this week.
Wynn Faces $36 Million Loss Amid Tariff Instability
The trading landscape shifted for Wynn on May 23, when former President Donald Trump announced a sweeping 50% tariff on all EU imports, resulting in significant sell-offs across both traditional and cryptocurrency markets. Bitcoin’s value dipped below $107,000, and Ethereum was pulled down to $2,504.
Memecoins experienced severe downturns, worsening the losses across the volatile token market.
Data from HypurrScan reveals that Wynn has incurred over $36 million in losses over the past week. Nevertheless, he still holds a profitable track record, with earnings of $12 million overall from his trading activities.
Wynn, recognized for his aggressive leverage tactics and interest in memecoins, began his trading activities on Hyperliquid two months ago, having initially deposited $4.65 million in USDC. The decentralized exchange operates on the Hyperliquid layer-1 chain and provides services for leveraged trading, spot markets, and lending.
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