When the cryptocurrency market experienced a shock in mid-August, many participants suffered losses. However, a certain mysterious trader from the GMX platform not only survived but also recorded an impressive profit of almost a million dollars. How did this happen?
Cryptocurrencies, although tempting with huge profits, also carry the risk of instability. In August of this year, the crypto world experienced another shock, and the value of many digital currencies dropped. During this time, when many investors were lamenting their losses, a certain trader from the GMX platform had reasons to celebrate.
According to data disclosed by Lookonchain, an anonymous user from the decentralized GMX perpetual exchange platform earned about a million dollars after the crypto market crash, shorting Ethereum when its price was high. The short position was opened on July 14th when ETH was priced at about $2,000 (according to CoinGecko data) and was closed on August 17th when the world’s second-largest cryptocurrency dropped to almost $1,700.
However, this is not the end of the story of this unique trader. After some time, he opened another position, this time betting that the value of Ethereum would rise. The entry price was $1,624, while currently, ETH is priced at over $1,660.
Information provided by Lookonchain suggests that the discussed trader was very successful – eight out of ten of his transactions turned out to be profitable. It’s worth noting that other cryptocurrency market participants weren’t so lucky, recording significant losses after the recent market correction.
Meanwhile, as reported by CryptoPotato, Andrew Kang (co-founder of the crypto-focused venture capital firm, Mechanism Capital) lost over $430,000 on August 18th, opening long positions on Bitcoin (BTC), Ethereum (ETH), and Arbitrum (ARB), using leverage of up to 100x.
In the world of cryptocurrencies, success can come unexpectedly, and the market is full of stories about both those who made a fortune and those who lost it. One thing is certain – the key to success is analysis, prudence, and continuously tracking changing market trends.
