In the fast-paced world of cryptocurrency trading, even seasoned players aren't immune to big setbacks. A recent post from OnchainLens on X spotlighted a tough moment for Machi Big Brother, a notable figure in the crypto space. Machi, whose real name is Jeffrey Huang, got partially liquidated on his highly leveraged long position in Ethereum (ETH), leaving him down a staggering $20.18 million.

For those new to the lingo, let's break it down simply. A "long position" means you're betting that the price of ETH will rise. Leverage amplifies this bet— in this case, 25x leverage means Machi was controlling a position 25 times larger than his initial collateral. It's like borrowing money to gamble bigger, but if the market moves against you, the exchange can "liquidate" your position, selling off your assets to cover the loan. That's exactly what happened here as ETH's price dipped, triggering automatic sales to prevent further losses.

Machi isn't just any trader; he's a DeFi pioneer who founded Cream Finance, a decentralized lending platform, and he's known as a major NFT whale, snapping up high-profile collections like Bored Ape Yacht Club. His on-chain activities are closely watched because they often signal broader market trends. But this isn't his first rodeo with liquidations— reports show he's been hit over 145 times since a major crypto crash in October, making him one of the most liquidated traders on platforms like Hyperliquid.

The details come from HyperTracker, a tool that monitors perpetual futures trading. Screenshots shared in the tweet reveal a series of opens, closes, and liquidations on ETH positions, with mounting losses.

Looking at the overview, his total equity stands at around $688,669, but the combined profit and loss (PNL) paints a grim picture: a net loss of over $20 million. His current open position is still a long on 600 ETH, valued at $1.69 million, but it's already in the red by about $36,802, with a distance to full liquidation at $2,763.42.

OnchainLens cheekily suggested Machi try shorting instead— betting on a price drop— for a change of pace. The community echoed this sentiment, with one reply noting the "25x flex turned into a $20M ouch." You can check out the original post here.

Events like this ripple through the crypto ecosystem, especially for meme token enthusiasts. High-leverage plays on major assets like ETH can influence market sentiment, causing volatility that spills over to smaller, more speculative tokens. If a whale like Machi is adjusting positions amid losses, it might lead to sell-offs or shifts in liquidity that affect meme coin pumps and dumps.

For blockchain practitioners and meme token traders, this serves as a stark reminder: leverage can multiply gains, but it can wipe you out just as fast. Always manage risk, use stop-losses, and remember that even big brothers in crypto can take a fall. Stay tuned to Meme Insider for more insights on how on-chain data reveals the real stories behind the trades.