Crypto Whales Suffer Massive Losses as Trump-Linked WLFI Token Plunges 40% Following 47M Token Burn

By: crypto insight|2025/09/04 15:30:22

Key Insights into WLFI’s Turbulent Ride

Imagine jumping into a high-stakes poker game where the cards seem promising at first, only to watch your chips vanish in a brutal downturn—that’s the harsh reality for big investors, or crypto whales, who dove headfirst into the Trump family’s World Liberty Financial (WLFI) token. These heavy hitters have been reeling from sharp declines, with the token dropping 40% from its debut price on Monday, leaving millions in losses scattered across the blockchain.

Picture one particular whale, tied to the wallet address 0x432, who boldly opened a 3X leveraged long position on WLFI and held it for almost 64 hours before closing it at 8:02 AM UTC on Thursday. As shared in a post from blockchain analytics tool Onchain Lens, this move led to a pre-fee profit and loss shortfall of about $1.63 million, plus fees around $2,667, resulting in a net hit of nearly $1.64 million. It’s a stark reminder that fear of missing out, or FOMO, can turn excitement into regret faster than a market crash.

Since hitting the scene, WLFI’s price chart has mirrored a classic descending triangle formation, a pattern that often signals trouble ahead, before it shattered its support level at $0.20 amid intense selling pressure. The token has plummeted over 60% from its peak of $0.46, showing no strong hints of bouncing back above $0.30 anytime soon.

Whale’s String of Setbacks with Trump Tokens

This isn’t the first rodeo for that same wallet owner. Back on September 1, they kicked off a long bet on the TRUMP token that lasted nearly 21 hours, ending in a pre-fee loss of roughly $76,400 and a net drain of about $80,220. Later that afternoon, a quick five-minute WLFI long position stung them for around $4,720 before fees, netting a loss of approximately $4,790. Undeterred, they tried another bullish WLFI play at 2:03 PM, holding for over three hours and facing pre-fee damages of about $21,380, with net losses close to $21,812. An even shorter WLFI long at 6:11 AM cost about $3,284 pre-fee, or roughly $3,510 after everything.

Data from Hyperdash reveals their final push with TRUMP involved a short ETH trade at 2:52 AM, erasing $135 before fees and nearly $311 net, followed by a long on August 31 at 7:17 PM that wiped out about $1,672 pre-fee and $1,861 net. It’s like watching a gambler chase losses at the casino, only here the stakes are digital and the house edge feels relentless.

WLFI started public trading on Monday, surging as high as $0.40 in pre-market futures buzz, but it swiftly cooled to around $0.24 by late afternoon. In the following day, it shed another 12% to about $0.246. As of this writing on September 4, 2025, at 15:24 UTC, WLFI is hovering near $0.182, down more than 20% in the past 24 hours, and it touched an all-time low of about $0.174 during Thursday’s pre-market sessions in the US.

Token Burn Fails to Spark Recovery

In a move that aimed to tighten supply and potentially boost value, World Liberty Financial executed a burn of 47 million WLFI tokens yesterday, worth over $11 million at the time, by dispatching them to addresses from which they can’t be recovered. This strategy, often compared to removing excess inventory to drive up demand in a store, was meant to promote holding and elevate prices. Yet, it didn’t stem the bleeding—WLFI kept sliding into the next day, scraping near its bottom despite the reduced circulation.

Even celebrities aren’t immune. Former kickboxing star and influencer Andrew Tate jumped into a WLFI long via the decentralized exchange Hyperliquid, only to see it liquidated on Tuesday for a $67,500 loss. He doubled down with another position, racking up nearly $700,000 in total WLFI trading defeats. It’s a vivid example of how even bold personalities can get burned in crypto’s volatile arena.

Trump’s Stake Remains a Bright Spot

Amid the investor pain, the launch looks like a win on paper for the Trump family. Donald Trump reportedly controls 15.75 billion WLFI tokens, pegging his holdings at around $3.4 billion as of now, making it the biggest slice of his fortune. Together with his sons’ shares, the family commands just under 25% of the 100 billion total supply, valued at an estimated $5 billion at current rates. This alignment with the Trump brand—rooted in themes of financial liberty and bold entrepreneurship—highlights how WLFI positions itself as more than just a token; it’s a statement of economic empowerment, resonating with supporters who see it as an extension of Trump’s vision for decentralized finance.

For those navigating these choppy crypto waters, platforms like WEEX stand out as a reliable choice. WEEX offers secure, user-friendly trading with advanced tools that help investors manage risks effectively, backed by robust security features and a commitment to transparency that builds trust in every transaction.

Latest Buzz and Updates on WLFI

Diving deeper, recent online chatter reveals WLFI dominating searches on Google, with users frequently asking about “WLFI token price prediction” and “Is WLFI a good investment?”—queries spiking amid the dip, reflecting widespread curiosity and concern. On Twitter, discussions are ablaze with topics like #WLFIcrash and #TrumpCrypto, where users debate the token’s ties to political figures and its potential recovery. A notable tweet from Onchain Lens on September 4, 2025, highlighted the whale’s massive loss, garnering thousands of retweets and fueling debates on market manipulation.

Official announcements from World Liberty Financial emphasize the burn’s intent to foster scarcity, but as of today, September 4, 2025, the token’s value hasn’t rebounded, with trading volume down 15% from yesterday’s levels according to on-chain data. Comparisons to past tokens like those linked to celebrities show WLFI’s drop isn’t unique—think of how some meme coins soar then crash—but evidence from blockchain trackers like Etherscan confirms the burn’s execution, with 47 million tokens indeed sent to dead addresses, reducing supply by about 0.47%.

This saga underscores crypto’s highs and lows, much like a rollercoaster where the thrill comes with real risks, backed by real data showing over 60% value erosion since launch.

FAQ

What caused the recent dip in WLFI’s price?

The WLFI token’s 40% decline stems from heavy selling after its debut, forming a descending triangle pattern that broke support at $0.20, despite a 47 million token burn aimed at boosting scarcity.

Is WLFI connected to Donald Trump, and how does it affect its value?

Yes, WLFI is linked to the Trump family, with Donald Trump holding a significant stake worth billions. This brand alignment adds a layer of political intrigue, but market forces like selling volume have driven the price down regardless.

Should I invest in WLFI amid these losses?

Investing in WLFI carries high risks, as shown by whale losses exceeding millions. Always conduct independent research and consider volatility, with current prices at $0.182 reflecting ongoing declines as of September 4, 2025.

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