James Wynn, a highly leveraged crypto trader known for turning $7,600 into $25 million on PEPE, warned traders that the market will get worse before it recovers. Wynn outlined a multi-asset defense strategy of shorting U.S. stocks and longing oil while selectively buying Bitcoin ($BTC) falls in spot capital.
All this comes amid US President Donald Trump’s fiery geopolitical message on Iran and the Strait of Hormuz on Sunday.
James Wynn’s macro bet and the Iran factor
This trader’s position reflects broader macro theory related to geopolitical escalation. James Wynn said he is shorting the S&P 500 and Nasdaq, long WTI crude oil and accumulating. $BTC About pullback.
It’s going to get a lot worse before it gets better.
Current deals:
Long: Obviously WTI (oil).
Short: Of course the S&P500.
The Big Short: Obviously the Nasdaq.
spot:
Cash and Bitcoin buys are down, but I believe Bitcoin will be dragged through the mud a little more. Make it… pic.twitter.com/fVkPzuj3f1
— James Wynn (@JamesWynnReal) April 5, 2026
He also warned of positive expectations for the Singapore dollar, Chinese yuan, euro and British pound. He expects gold prices to hold steady or reach new all-time highs soon.
Regarding real estate, Wynn acknowledged that he has exposure to the sector and said the sector is at a disadvantage, although he stressed the importance of diversification.
His strategy is consistent with the current geopolitical environment. President Donald Trump has issued a 48-hour ultimatum to Iran on Truth Social, threatening to attack power plants and bridges if Iran does not reopen the Strait of Hormuz by Tuesday.
pic.twitter.com/hjaounz3yh
— Rapid Response 47 (@RapidResponse47) April 5, 2026
Iran has effectively blocked the strait since the U.S.-Israeli military operation began on February 28, disrupting about 20% of the world’s oil supplies.
Low liquidity wicks and liquidation hunts
Separately, James Wynn warned about Bitcoin price trends. He flagged the core of the Sunday operation. $BTC This occurred at a time of low trading volume and is further evidence of what will happen next.
“Another classic piece of small-volume manipulation that occurred in Bitcoin on Sunday is further proof of what’s to come,” he noted.
Sure, $1,000 $BTC As the illiquid leverage hunt continues, a 10-minute price spike on Sunday liquidated $28 million in short positions in an hour.
Bitcoin raised $1,000 in 10 minutes and liquidated $28 million in shorts in an hour.
The hunt for leverage with low liquidity continues. pic.twitter.com/JxjdBDVoRt
— Ash Crypto (@AshCrypto) April 5, 2026
$BTC As of this writing, the stock is trading around $67,201 and the Fear and Greed Index is stuck at 12, putting it in extreme fear territory. Despite sustained bearish territory, the token remained in the $65,000-$73,000 range for several weeks.
The macro environment for risk assets remains volatile as President Trump’s self-imposed Tuesday deadline approaches and oil prices remain above $100 a barrel.
