Recent events in the cryptocurrency market led to significant losses for a well-known trader, who previously made millions on Ethereum.
Trader's Success with Ethereum
The trader managed to turn $125,000 into $29.6 million in just four months by engaging in high-risk trades with Ethereum.
He "masterfully" compounded profits, reinvesting all gains back into ETH. As a result, he amassed a position worth approximately $303 million. At his peak, his profit reached an astonishing $43 million.
Losses Amid Market Correction
However, the situation changed rapidly. On August 18, the trader closed all ETH longs, securing a profit of $6.9 million. Despite the significant drop from his peak, he still managed to achieve a 55X gain.
Nonetheless, the trader did not stop there. He reopened an ETH long and lost all his remaining profits during the recent market crash. His account is now valued at only $771,000.
Current Situation in the Ethereum Market
In July, Ethereum experienced a massive rally, surging by 49%. Supported by strong ETF inflows and growing corporate adoption, the altcoin continued to rise in August, reaching a peak of $4,791. However, the ETH price has now fallen back to $4,064, recording a 16% correction from the recent local high.
The losses incurred by the famous trader highlight the significant risks associated with cryptocurrency trading, especially in volatile market conditions.
