Bitcoin Bull Market Emerges as 'True Test' Amid James Wynn's $100M Loss

 

Bitcoin Bull Market Stays Strong as Profit-Taking Rises and Hyperliquid’s James Wynn Faces $99M Liquidation

Bitcoin investors are increasingly locking in profits, new data confirms, even as the overall market outlook remains bullish. Meanwhile, Hyperliquid’s James Wynn has joined the list of high-profile liquidations following Bitcoin’s recent 10% price correction.

Key Highlights:

• Profit-taking is accelerating, but it may actually fuel the ongoing bull market, according to research from analytics firm Santiment.

• Bitcoin holders are moving coins more frequently, suggesting a younger average wallet age, without signs of panic selling or short-term speculation.

• Hyperliquid’s James Wynn was liquidated for $99 million, underscoring the risks even major players face in volatile markets.

Profit-Taking Seen as a Bullish Signal

Bitcoin’s pullback to around $105,223 has sparked renewed analysis. In its May 29 Biweekly Report, Santiment argues that current investor behavior is characteristic of a healthy, ongoing bull cycle.

Using the Mean Dollar-Invested Age (MDIA) — a metric that measures how long coins sit idle in wallets — Santiment found that average coin age has dipped slightly, from 443 to 426 days since mid-April.

This decrease signals increased movement of older coins, typically a sign of profit-taking. However, Santiment contends this is not a bearish indicator. Rather, it may help sustain bullish momentum, showing that the market remains active and not driven solely by short-term speculation.

“A falling MDIA is a great validator that bullish momentum will continue,” the report stated.

Wynn’s Liquidation Highlights Market Risks

The recent correction saw Bitcoin briefly fall below $105,000 after the May 29 close. Though a 10% drop, many traders view it as a healthy support retest before another potential leg upward.

Yet the decline claimed major victims, including James Wynn, a prominent whale and investor in the Hyperliquid trading platform. His long position was liquidated for a staggering $99 million, according to Santiment.

The event illustrates how large leveraged positions can become vulnerabilities during swift market pullbacks.

“When major longs get liquidated, prices typically move down sharply,” Santiment noted.

Sentiment Remains Bullish

Despite the liquidation event and price dip, bullish sentiment remains intact. Analysts highlight continued accumulation, including large Bitcoin outflows from exchanges — such as a 7,000 BTC transaction on May 30, believed to be from a single whale.

Market watchers maintain that such moves suggest confidence in further upside, with some calling for a $200K BTC target in 2025, following what they see as a clear long-term breakout.