Andrew Tate has once again found himself on the wrong side of a highly leveraged cryptocurrency trade after a new Bitcoin position on Hyperliquid suffered a partial liquidation.
According to blockchain analytics platform Lookonchain, Tate opened a massive 40x leveraged long position worth approximately $3.76 million. However, the trade quickly came under pressure as Bitcoin experienced renewed volatility, triggering another liquidation event.
Andrew Tate’s New Bitcoin Trade Runs Into Trouble
Lookonchain reported that Tate opened a long position on 57.36 BTC, valued at roughly $3.76 million at the time of entry. The trade used 40x leverage, a strategy that dramatically increases both profit potential and downside risk.
Shortly after the position was opened, market conditions turned unfavorable. Bitcoin moved closer to Tate’s liquidation threshold, resulting in a partial liquidation that reduced the size of the position.
The blockchain tracker later updated the liquidation level to approximately $64,824.44 following the liquidation event.
Bitcoin Volatility Leaves Little Room for Error
The trade highlighted the risks associated with extreme leverage.
Initially, Lookonchain estimated the position’s liquidation price at $65,215.87. During the same trading session, Bitcoin traded dangerously close to that level, increasing the likelihood of forced liquidation.
Market data showed Bitcoin trading near $64,730, with an intraday high of $66,689 and a low of $64,730. Such price swings are common in cryptocurrency markets but can have a major impact on leveraged positions.
Because Tate used 40x leverage, even a relatively small decline in Bitcoin’s price was enough to push the trade into danger.
Another Addition to a Long List of Liquidations
According to Lookonchain, this was far from Tate’s first liquidation.
The analytics platform stated that Tate had already been liquidated 107 times before opening this latest Bitcoin position. The tracker linked the trade to a wallet address associated with his previous activity on Hyperliquid.
Despite the repeated losses, Tate has continued pursuing aggressive leveraged trading strategies, frequently placing large directional bets on cryptocurrency price movements.
Why 40x Leverage Is So Risky
Leveraged trading allows investors to control a larger position using a relatively small amount of capital.
While this can significantly increase gains when the market moves in the trader’s favor, it also amplifies losses. A 40x position provides very little margin for error, meaning even minor market fluctuations can trigger liquidation.
In Tate’s case, Bitcoin only needed to move a small percentage against his position before exchanges began automatically closing parts of the trade to prevent further losses.
This is one of the main reasons why high-leverage trading remains one of the riskiest strategies in cryptocurrency markets.
Hyperliquid Activity Continues to Draw Attention
Tate’s trading activity on Hyperliquid has attracted considerable attention from on-chain analysts and crypto traders over the past year.
Earlier reports tracking his wallet activity revealed that many of his positions were highly speculative. Previous analysis cited a win rate of approximately 35.53% on the platform, highlighting the challenging nature of his trading approach.
The latest liquidation reinforces concerns about the sustainability of repeatedly using extreme leverage in volatile markets.
DADDY Token Remains Part of Tate’s Crypto Legacy
Beyond leveraged Bitcoin trading, Tate is also known for his association with the DADDY meme coin.
Launched during the celebrity token boom of 2024, DADDY was marketed as a rival to several other celebrity-backed cryptocurrencies, including Iggy Azalea’s MOTHER token.
However, the project later faced criticism from blockchain analysts who raised concerns about token concentration and insider activity.
Blockchain analytics platform Bubblemaps previously reported that insiders accumulated approximately 30% of the token supply before broader promotional campaigns began.
Since reaching its peak in June 2024, the token has experienced a dramatic decline in value.
Recent market data showed DADDY trading around $0.01159, significantly below its all-time high of $0.288644.
What Happens Next?
The latest liquidation does not appear to have completely wiped out Tate’s Bitcoin position, but it does demonstrate how vulnerable highly leveraged trades remain during periods of market volatility.
With Bitcoin continuing to fluctuate around key support and resistance levels, further downside movement could place additional pressure on the remaining position.
For now, the incident serves as another reminder that even experienced traders can face significant losses when using excessive leverage in fast-moving cryptocurrency markets.
