Machi's excessive ETH leverage faces a test, recording a million-dollar unrealized loss

CryptoMom · 2026-01-28T23:04:13+00:00

Trader Machi is facing significant losses due to a market downturn, leading to the liquidation of his leveraged Ethereum positions. As losses exceed $2.36 million and unrealized losses surpass $1 million, this situation highlights the dangers of excessive leverage in trading, emphasizing the need for effective risk management.

CryptoMom

2026-01-28 23:04:13

Abstract generation in progress

Trader Machi (@machibigbrother) is facing significant losses. According to reports from PANews and Onchain Lens, due to the ongoing market decline, his 25x leveraged long position in Ethereum has been gradually liquidated, leading to a serious situation.

Progress of Position Liquidation During Market Decline

As of January 20, reports indicate that Machi’s account is in a critically dangerous state. The price gap until the next liquidation is now only $30, and the risk of a margin call is imminent. Through phased liquidation, a substantial amount of position adjustments have already been made.

Growing Unrealized Losses and Escalating Total Losses

Amid increasing downward pressure in the market, Machi’s entire portfolio has fallen back into a large loss state. The current unrealized loss (paper loss) has already exceeded $1 million, and the total recorded loss on the books has reached a staggering $23.6 million. This serves as a stark example of the dangers of leverage trading and is an important warning to market participants.

Such a situation highlights the risks associated with excessive leverage trading. Even small price fluctuations can lead to significant losses, and in a declining market like this, risk management becomes increasingly critical.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.