James Wynn has been wiped out 22 times trading S&P 500 perpetual contracts on Hyperliquid, racking up realized losses around $73,100. His latest liquidation came on Monday, the fifth in just three days, underscoring the mounting pressure on his bearish bets.
Account Erodes Despite Big Short Position
Over the past three months, Wynn’s repeated liquidations have erased nearly $1.3 million in notional value, including one massive $437,500 blow on June 30. His position sizes have steadily shrunk, dropping from over 85 contracts in late June to just 17.6 in the most recent event. Despite this, Wynn is still holding a short at 70.50 on the S&P 500, leveraged 50 times, with a notional value close to $530,900. Currently, his unrealized loss on this position is nearly $7,900, with margin used up to 81.5% and only $6,512 left in his account.
Market Moves Against Wynn’s Bearish Calls
Back in April, Wynn laid out a bearish stance on US indexes, pairing short S&P 500 and NASDAQ positions with oil longs. He predicted a worsening market before any recovery could take hold. Instead, the S&P 500 has defied his expectations, surging over 13% since his call and hitting 23 record highs this year. The index closed recently just shy of his liquidation price, making it difficult to hold such aggressive shorts at 50x use. Every move less than 2% against Wynn’s positions risks triggering liquidation. This relentless market climb forces Wynn to juggle heavy losses while maintaining his short bets.
This content is informational and not financial advice.
