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Just 24 hours after the U.S. Court of International Trade blocked Trump’s tariffs—ruling them illegal under the International Emergency Economic Powers Act—the narrative flipped. Today, those same tariffs have been temporarily reinstated. The Trump administration swiftly appealed, and the U.S. Court of Appeals for the Federal Circuit in Washington granted a stay, pausing Wednesday’s decision.
The plaintiffs have until June 5 to respond, and the U.S. government must reply by June 9.
This about-face only deepens the confusion that’s surrounded the tariff saga in recent months. And markets felt it. Bitcoin sentiment dropped 14 points, from a high of 74—on the brink of extreme greed—down to 60. The price slipped 2% on the day, but this wasn’t the only weight on BTC's shoulders.
The ‘Hyperliquid Whale’ Liquidation Hunt
James Wynn—a rising crypto personality on X with nearly 250k followers—has become infamous for his aggressive leverage trading on Hyperliquid. His account had ballooned to over $80 million in profit, earning him the nickname “Hyperliquid Whale.”
But his latest move—a 40x leverage long on Bitcoin, worth nearly $800 million—painted a giant target on his back. Adding fuel to the fire, Wynn tweeted that $80 million “isn’t generational wealth”, telling people to “stay in their lane” while he traded billion-dollar positions.
The bears pounced. His long was entered when BTC was above $108K. In a coordinated effort, market makers and short-sellers began pushing price lower to trigger liquidation. The result? His PnL swung from $82 million in profit to over $14 million in losses—a jaw-dropping $100 million reversal.
Despite attempts to defend the position by increasing size and lowering his liquidation level, the bears pushed BTC under $105K, securing the takedown.
This is a textbook case in the dangers of leverage. Generational wealth can disappear in a single misstep. Those who bought spot BTC at $108K are sitting on a modest drawdown—Wynn, meanwhile, has suffered catastrophic losses due to leverage.
At Stormrake, we continue to advocate for spot exposure. It eliminates liquidation risk entirely. No margin calls. No sleepless nights.
Macro Meets Liquidations: Bears Regain Control
The confluence of macro uncertainty and a targeted liquidation event has put crypto markets on the back foot. Bears have reclaimed structure after BTC failed to print a new higher high and has now formed a lower low.
This is currently a pullback, not yet a full correction. But to avoid deeper downside, BTC must hold above $101K.
Stormrake Spotlight: Bittensor (TAO) ($405)
Stormrake Spotlight: Bittensor (TAO) ($405)
TAO has mirrored the broader market decline, dropping over 7% in the past 24 hours. It’s now approaching a key support level at $390. A break below that level would confirm a bearish market structure.
BTC/USD Key Levels and Price Action:
BTC/USD Key Levels and Price Action:
Following the break of the key blue support level, bears have clearly taken control of the structure, with a series of lower highs and lower lows confirming the shift in momentum. Immediate support now lies at $104K, while the critical level to hold is $101K. Should this level give way, a deeper correction could follow.
For the bulls to regain control, Bitcoin must not only reclaim all major moving averages but also break back above the key resistance level of $109.5K.
BTC Total ETF Flows for 29 May: $ - 471.9 million
(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)
*All prices are denominated in USD unless stated otherwise*
Written by Alexandar Artis
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The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
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