Whale Logs $1M Paper Profit in 10 Minutes on Ethereum

An Ethereum (ETH) whale has gained attention by racking an impressive $1 million paper profit in 10 minutes. The swift transaction underscores the rapid dynamics of the crypto market and demonstrates how investors can seize opportunities with precise timing.

Data from on-chain blockchain analytic firm Lookonchain revealed that the whale executed a trade, purchasing a substantial amount of ETH moments before a sharp price increase. Analysts suggest that the investor had insider information, allowing them to profit significantly.

The transaction took place when the whale purchased ETH at $1,898.7, with a total buy of $192,72, right before a sharp increase in buying momentum. ETH’s price surged in a matter of minutes, pushing the investor’s unrealized profits beyond $1 million.

The analytic firm also showed that the position has grown to 73,076 ETH ($138.75 million), with an unrealized profit of over $1 million, despite the current market decline. While it remains unclear if the whale has sold off their holdings to lock in profits, the sheer speed of the gain underscores the volatility and opportunity in crypto trading.

Traders Making Profits

Events such as this are not new to the crypto space. On August 30, 2024, a crypto whale made a $5 million profit despite ETH’s sluggish price movement. The whale deposited 8,651 ETH, worth $21.47 million, into the crypto exchange Coinbase. This deposit follows a withdrawal of 7,697 ETH valued at $14.3 million from the same platform between July 14 and November 6, 2023, at an average price of $1,859 per ETH. The deposit resulted in a nearly $5 million gain, demonstrating how informed decisions can lead to substantial profits even during market corrections.

Similarly, in August 2024, a trader made over $900,000 by trading a token just one hour after it launched. The trader first invested 50 SOL (about $8,500) to buy 256.8 million CTO tokens. As CTO’s value surged, the trader sold 227.67 million CTO tokens for 4,771 SOL (around $811,000). The sale resulted in a profit of 4,721 SOL, or $802,500, representing a 94-fold return on their investment.

In another case, a trader closed a short position on MakerDAO’s governance token, MKR, earning a notable profit of around $292,400. The trader initiated a short position by borrowing 500 MKR tokens from Aave, a decentralized lending platform. The trader converted the borrowed MKR into 1.37 million USDC, a stablecoin pegged to the U.S. dollar.

MKR, a key component of the Maker protocol, supports the creation of DAI, a decentralized stablecoin. MKR token holders influence governance decisions impacting the protocol’s direction.

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