Memecoins
Diamond Hand Trader Made Over $1.7 Million Trading This Meme Coin: Here’s How
TL;DR
- A trader bought 170.2 billion PEPE coins last October and sold them on July 25 for $1.97 million, making a profit of $1.77 million.
- Other meme coin traders have also seen massive gains, but investing in these volatile assets can be risky and lead to significant losses.
The impressive profit
Meme cryptocurrencies have the ability to experience a substantial price increase in a short period of time, which benefits savvy traders who have chosen the right time to enter the ecosystem. A typical example of such a token is Pepe (PEPE), whose valuation is increasing by almost 800% on an annual basis.
Lookonchain Crypto Analysis Platform revealed the case of a trader who bought 170.2 billion PEPE coins at the end of October last year.
They kept the stash intact for the next few months before selling it for $1.97 million in USDC earlier this week (July 25). The return on investment (ROI) is an impressive 886%, while the total profit is $1.77 million.
The sale consisted of two transactions. The trader first exchanged just over 100 billion PEPE for $1.16 million in USDC, then converted the remaining tokens for $812,000 worth of the stablecoin.
Some X users who commented under the post described this decision as a wise one. Others, however, noted that the profit would have been much more substantial if the trader had cashed out his investment two months ago.
At the time, the price of PEPE reached an all-time high of around $0.00001699, while currently it is trading at $0.00001171 (data from CoinGecko), which represents a 30% drop.
Other Coin Millionaires
The aforementioned PEPE trader is one of many who have seen their initial investment exceed $1 million. An industry player who bought over 48 billion SHIB tokens in January 2021 for 2 ETH (worth just $2,700 at the time) sold holdings worth over 280 ETH in May this year, or over $1.2 million.
Another spent He only has $310 left by the end of 2023 to accumulate about 2.5 million dogwifhat (WIF) coins. The trader will make a huge profit of over $6 million if he decides to cash out.
Although they seem like a great investment option and a dream way to get rich in a short time, cryptocurrencies can also be very dangerous and lead to devastating financial losses. This is due to their notorious volatility and the fact that some of them have questionable use cases and are focused on specific trends that sooner or later disappear.
Those who are about to jump on the bandwagon should do proper research beforehand and invest only the amount they are willing to lose. For more essential tips, please check out our dedicated video below: