Ethereum shorter gains $1.1M on 50X leverage in 2 days

As a seasoned researcher with a knack for cryptocurrencies and a penchant for risk-taking, I can’t help but marvel at the tales of success that echo through the crypto sphere. The story of the trader who made over $1.1 million within two days on an Ether short position is nothing short of astounding! Leveraged trading, if played right, can indeed be a lucrative endeavor, as this trader has demonstrated.

A cryptocurrency trader is up over $1.1 million on an Ether position within two days after strategically positioning for the current crypto market correction.

A skilled crypto investor earned more than $1.1 million in profit by strategically shorting Ether (ETH). This means he borrowed Ether from a broker, sold it at its current market value, and later repurchased it when the price dropped – a method traders use to predict and capitalize on falling asset prices.

At 10:56 a.m. UTC, the trader initiated a 50 times leveraged short position on Ether when its price was $3,428. This move equated to selling approximately 19,186 Ether, which at that time had a total value of over $64.5 million, as indicated by blockchain data from hypurrscan.

Apart from the $1.1 million potential gain, this trader also collected approximately $680,000 as funding fees for his short position, a level where it can be liquidated at prices over $4,750.

On December 24th, the experienced trader started a short position, and this move incurred an initial loss of approximately $1.2 million on its first day, as reported by the on-chain intelligence company Lookonchian in their recent Dec. 24 blog post.

Engaging in margin trading could potentially boost your profits, but it also has the power to magnify losses, putting your original investment at risk.

In January 2024, an anonymous investor suffered losses exceeding $161,000 in a single transaction due to being forced to sell off their holdings on a high-leverage investment, serving as a reminder of the potential dangers associated with leveraged trading.

Crypto traders win big in 2024 with million-dollar trades

2024 saw many astute investors reap considerable profits as they seized the opportunity presented by rising cryptocurrency values, particularly Bitcoin (BTC). This digital currency reached an unprecedented level of $100,000 for the very first time in crypto history on December 6, marking a significant milestone.

On December 14th, an unidentified individual who traded in a specific meme cryptocurrency, known as Pepe (PEPE), managed to turn a small initial investment of $27 into an astonishing $52 million, resulting in a staggering return on investment of over 1,900,000 times the original amount.

But after a long wait of 600 days, this trader finally reaped significant profits from the memecoin, Pepe, as it reached unprecedented peak prices.

In May, a mystery investor made a substantial profit by taking advantage of the increase in Pepe’s value. They ended up with approximately $46 million in earnings, which represented an astonishing 15,718 times return on their original $3,000 investment.

Many traders are profiting from recently launched meme-based cryptocurrencies, such as the Just a Chill Guy token (CHILLGUY), which enabled one investor to transform an initial $160 into a staggering $5.6 million, as detailed by CryptoMoon on November 27th.

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2024-12-26 15:08