Jeff Huang, known in crypto circles as Machi Big Brother, was liquidated again on Hyperliquid after taking a heavily leveraged long position in ETH. Late on Jan. 25 through early Jan. 26, his 25x leveraged ETH long was fully wiped out after ETH fell below $2,900. The move erased more than $580,000 in a matter of hours and pushed his cumulative losses in recent weeks beyond $25 million.
Small adverse move was enough to trigger liquidation
Monitoring data cited in the source said a position at 25x leverage could be forced out by roughly a 4% move in the wrong direction. Once ETH slipped under the key price level, Hyperliquid’s system seized margin to repay debt and the position value dropped to zero. That is the core danger of high leverage: a relatively limited market move can end the trade almost instantly.
The sequence did not stop there. After the first liquidation, Huang quickly opened another ETH long at the same leverage. Price weakness continued, and the new position soon ran into partial liquidation. The result was a rapid cycle of liquidation, renewed exposure, and another liquidation event, all within a short window.
Repeated liquidations had already built up over months
The source also pointed to a longer pattern. During October and November 2025, Huang recorded 71 liquidations in a single month and 145 in total. The same style of trading carried into 2026. On Jan. 20 alone, while ETH hovered around $2,960, he was hit by five partial liquidations.
He later added 260,000 USDC in margin on Jan. 23 in an attempt to hold the position. That did not reverse the outcome. With fresh collateral added to an already stressed trade, the loss count kept growing, and total losses over recent weeks climbed above $25 million.
Large spot holdings did not offset leverage risk
According to the report, Huang still holds about $99.9 million in spot ETH along with multiple altcoins, with total risk assets estimated at roughly $130 million. Even so, the latest wipeout showed that deep capital does not neutralize the effect of extreme leverage. On decentralized derivatives venues, liquidation rules are immediate and margin buffers can be thin.
The case also highlights a basic feature of on-chain derivatives markets: transparency is high, but losses can crystallize very fast. When leverage is this elevated, a brief move against the position is enough to clear out the trade.