Bitcoin’s rollercoaster ride took another twist this past weekend as the flagship cryptocurrency dipped below $108,000. The move came amid escalating tensions in the global trade arena, with US President Donald Trump’s latest tariff announcements shaking up markets. And while some traders remained unflustered, others—like the high-profile Hyperliquid trader James Wynn—decided it was time to pivot.
Tariffs and Turbulence
Bitcoin’s troubles began with President Trump’s decision to impose a hefty 50% tariff on goods originating from the European Union. The announcement sent ripples through the financial markets, hitting cryptocurrencies hard. Bitcoin, which had recently hit a high of $112,000, found itself struggling to maintain its momentum. The setback was further exacerbated by additional tariff threats targeting tech giants, a move that seemed to underscore the volatility linked to global economic policies. As explored in our recent coverage of Bitcoin Traders Eye Breakout to New Highs as Trump Says Tariff Deals Progressing, the market remains sensitive to geopolitical developments.
Market analyst Keith Alan, co-founder of Material Indicators, was quick to react to the news on X (formerly Twitter). “More hot air from the Manipulator in Chief,” he quipped, suggesting that the unpredictability of Trump’s policies was a significant factor in Bitcoin’s current price woes. Yet, Alan remained optimistic about Bitcoin’s long-term prospects, pointing to key technical indicators. “The MACRO trend line and two key Moving Averages on the Bitcoin Daily chart currently have confluence with the Yearly Open,” he noted, emphasizing that the bull trend remains intact as long as Bitcoin hovers above $93,500.
Traders Eye New Opportunities
Despite the turbulence, some traders saw opportunities in the chaos. Notably, Crypto Tony, a popular trader on social media, expressed a somewhat counterintuitive stance. “A close above $108,000 this week would be perfect,” he noted, “but a close above $104,000 is equally as ok as we clear the resistance zone.” This perspective highlights a broader sentiment among certain traders who believe that Bitcoin’s underlying strength could weather the current storm. For a deeper dive into market sentiment, see Bitcoin Jumps Above $97K as Traders Optimistic U.S.-China Trade Deal Possible.
Meanwhile, Merlijn, another seasoned trader, identified a potential short-term price magnet—a fresh “gap” on the CME Group’s Bitcoin futures chart. “These gaps don’t stay open for long,” he pointed out, suggesting that Bitcoin could soon retrace to fill the gap at $107,230.
Wynn’s Surprise Move
However, the weekend’s most dramatic move came from James Wynn, a prominent figure in the trading community. Known for his high-stakes positions, Wynn had initially taken a bullish stance with a $1.25 billion long position. But as the market reacted to Trump’s tariffs, Wynn made a swift and unexpected decision to go short, a move that raised eyebrows across the crypto sphere.
The research firm Lookonchain provided additional details, revealing that Wynn’s new short position was worth approximately $110 million, with a liquidation price set at $149,100. The decision was met with surprise by some, including trader Daan Crypto Trades, who commented on the choppy nature of the market over the weekend.
What Lies Ahead?
The unfolding events have left traders and analysts pondering the future. While some remain hopeful that Bitcoin’s fundamental strengths will prevail, others caution that the geopolitical landscape could continue to exert pressure. With June 2025 on the horizon, all eyes will be on whether Bitcoin can stabilize and regain its upward trajectory.
As the cryptocurrency market continues to adjust to the shifting sands of international trade policies, one thing is clear: volatility remains an intrinsic part of the Bitcoin experience. And as always, traders must navigate these tumultuous waters with care, aware that every decision carries its own set of risks and rewards.
Source
This article is based on: Bitcoin trader swaps $1.25B long for short as BTC price slides under $108K
Further Reading
Deepen your understanding with these related articles:
- Bitcoin Surges Past $94,000 as Institutional Interest and Market Optimism Grow
- Bitcoin Surpasses $95K Amid Resilient U.S. Stocks, Analysts Voice Concerns Over Market Perception (openai)
- Bitcoin price about to ‘blast’ higher as Fed rate cut odds jump to 60%
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
