An Ethereum investor reaped a $131.72 million profit after holding their coins for two years. The investments were made during the 2022 bear market.
Ethereum Investor's Profit
The investor purchased 96,639 ETH on Coinbase in September 2022 when Ethereum was trading around $1,567. The total investment came to approximately $151.43 million. Earlier this year, the investor transferred 72% of their initial holdings (70,000 ETH) to Kraken, with Ethereum's market price rising to $3,062, amounting to around $214.34 million. As of now, the investor also holds 26,639 ETH valued at approximately $68.81 million.
Examples of Other Successful Trades
Many crypto investors have also achieved significant success through a 'buy-the-dip' strategy. One Shiba Inu (SHIB) investor secured a $1.1 million profit from an initial $2,625 investment after three years. Two years ago, another trader turned a $3,000 investment in the PEPE memecoin into $46 million.
James Fickel's Losses in Bitcoin
Not all investment strategies reap rewards. James Fickel, the founder of longevity research firm Amaranth Foundation, incurred a $43 million loss betting against Bitcoin. In January 2024, he borrowed $172 million in Wrapped Bitcoin (WBTC) expecting Ethereum to rise in value. However, Ethereum's price relative to Bitcoin has dropped 24% since the start of the year.
Long-term holding strategies in cryptocurrency can yield significant profits or losses depending on market conditions and chosen tactics.
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