A cryptocurrency trader recently grew their account from $125,000 to over $43 million, but after Ethereum briefly dipped to around $4,000, they were nearly liquidated for $6.2 million.
The liquidation occurred on the decentralized exchange Hyperliquid, with Ethereum (ETH) nearing $4,000 during a market correction, highlighting that volatility can even catch experienced traders off guard.
Just two days ago, the trader's initial investment grew from $125,000 to over $43 million at its peak.
According to blockchain data platform Lookonchain, 'This legendary trader went long on ETH again, but was liquidated during the market crash, losing $6.22 million, and now only has $771,000 left — four months of gains almost wiped out in two days.'
Other notable traders were also hit by the market downturn. Leveraged trader James Wynn's long Ethereum position was also partially liquidated.
The market drop prompted some whales to panic sell millions of dollars worth of ETH, however, some traders took the opportunity to buy.
On Wednesday, a wallet marked '0x159' purchased $3.4 million worth of Ethereum, while other whale wallets '0x929' and '0x5dc' bought $3.16 million and $2.9 million worth of ETH, respectively.
Meanwhile, cryptocurrency investors are focusing on Federal Reserve Chairman Jerome Powell's monetary policy speech in Jackson Hole.
