$1.93B Thanksgiving Crypto Crash: 396,000 Traders Liquidated; Huang, Gunden, Trump Among Casualties

A severe crypto downturn on 21 November wiped out approximately $1.93 billion (£1.46 billion) within 24 hours, liquidating around 396,000 traders. The impact of this crash extends beyond small investors, affecting high-profile figures, including the Trump family and prominent traders.

This sudden collapse has set the stage for difficult conversations around holiday tables, as many confront significant financial losses. The scale of the sell-off highlights the dangers of excessive leverage in the volatile crypto market.

The Financial Fallout: Who Lost What?

The fallout from the crash is notable among both retail investors and wealthy traders. The Trump family, estimated to have held substantial crypto assets, now faces paper losses nearing $1 billion. Meanwhile, Jeffrey Huang, a well-known crypto personality, suffered over $20 million in cumulative losses after being liquidated on the Hyperliquid platform.

Contrasting this, early Bitcoin whale Owen Gunden chose to exit the market before the crash fully unfolded. He sold his entire $1.3 billion stake on the Kraken exchange just one day before the cascade began, marking a significant move by a long-term holder.

The Numbers Behind the Crash

The scale of the sell-off is stark. Data from CoinGlass shows nearly $2 billion in leveraged positions were liquidated in a single day—the highest such figure in 2025. Approximately 396,000 traders were wiped out, with many facing forced liquidation due to overleveraged bets on rising prices.

The crash was driven by automated trading systems that liquidated overleveraged positions as Bitcoin's price declined. A single position lost as much as $36.78 million. Bitcoin's price fell roughly 30% from its recent high of $126,000, marking the worst monthly performance since mid-2022.

High-Profile Fates: Three Cases, Three Outcomes

The impact of this market downturn is vividly illustrated through the experiences of three prominent figures: one trader lost everything, a whale exited before the crash, and the Trump family faced significant paper losses.

Jeffrey Huang: The High-Stakes Trader
Jeffrey Huang, a Taiwanese-American rapper and crypto personality known as 'Machi Big Brother', was hit with 145 liquidations on the Hyperliquid platform. On-chain data shows he suffered over $20 million in cumulative losses, leaving his account with just $15,538 after being unable to support his high-leverage positions.

Owen Gunden: The Whale Who Cashed Out
In contrast, early Bitcoin whale Owen Gunden chose to sell. He was not liquidated but moved his entire $1.3 billion stake to Kraken during the market decline, completing his exit just one day before the November 21 cascade. His decision to sell—after holding since 2011 when Bitcoin traded under $1—was seen by many as a major loss of confidence from a long-term believer.

The Trump Family: The Billion-Dollar Paper Loss

The Trump family's crypto holdings also took a significant hit. Estimates suggest their net worth fell by around $1 billion in the downturn, sharply contrasting with previous statements about 'buying the dip'. This demonstrates that political power offers no protection from market risk.

Heading into the holiday season, they now face the same reality as countless retail investors.

The Emotional Toll on Holiday Dinner Tables

For retail investors, the losses are deeply personal. Many are sharing stories on Reddit about their biggest financial mistakes, with some having wiped out savings accumulated over six years in a single leveraged trade. Old warnings from 2022 about avoiding crypto discussions at family gatherings are now eerily prophetic.

Market sentiment reflects this anxiety. The Crypto Fear & Greed Index currently sits at 15—deep in 'extreme fear' territory—after hitting a low of 10 last week. Meanwhile, Bitcoin ETFs experienced a record $3.79 billion in outflows in November, indicating that new money remains on the sidelines.

The Domino Effect and Future Outlook

The crash was largely driven by extreme leverage—investors placing bets 20 to 25 times larger than their actual capital. As prices declined, forced liquidations triggered a cascade, further pushing prices down. Simultaneously, investors pulled record amounts from Bitcoin ETFs, exacerbating the decline.

What lies ahead remains uncertain. Will retail investors regain trust in the market? The contrasting experiences of Huang's $20 million wipeout and Gunden's early exit serve as stark reminders of the importance of timing and discipline.

Regulators will almost certainly take a harder look at platforms offering 20x leverage to amateur traders. But that won't help the families sitting down for Thanksgiving dinner tomorrow. They won't be toasting crypto riches. They'll be quietly confronting what happens when speculation goes wrong.