Over the past 24 hours, one of the most closely watched high-leverage traders — widely reported to be a Trump-connected insider — has suffered a complete liquidation.
This marks the 12th consecutive full wipeout on record.
What makes this event extraordinary is not just the loss itself — but how it happened.
🧵 The Setup
According to multiple on-chain and derivatives tracking sources, the trader was sitting on unrealized profits north of $40 million earlier this week.
Instead of de-risking, hedging, or scaling out, he made a decisive move:
• Went all-in on an $ETH long
• Extremely high leverage
• No meaningful downside protection
Within 24 hours, the entire position was erased.
No partial exit.
No recovery bounce.
Total liquidation.
📉 Why This Matters
This isn’t about one trader.
This is a case study in current market structure.
We are now in an environment where:
• Volatility spikes are faster than risk systems
• Liquidity gaps are punishing leverage instantly
• Narrative confidence ≠ market edge
• Even “insiders” are not insulated
Repeated liquidations at this scale signal structural fragility, not bad luck.
🧠 The Bigger Signal
Twelve liquidations in a row tells us something critical:
This market is not forgiving conviction — it is rewarding discipline.
Aggressive leverage, even with perceived informational advantage, is being systematically punished.
That’s a hallmark of: • Late-cycle behavior
• Thin liquidity conditions
• Crowded directional bets
• Unstable derivatives positioning
⚠️ Takeaway
If someone with: • Deep pockets
• Market access
• Political proximity
• Prior massive wins
can be wiped out in a single day…
Then risk management is no longer optional — it’s survival.
This is no longer a market where being right eventually saves you.
You must be positioned correctly, or you don’t stay in the game.
