A cryptocurrency investor turned 740,000 USD into 6.16 million USD thanks to an effective long ETH position strategy.
By continuously increasing positions, the number of ETH held rose from 4,000 to 25,100 Tokens, equivalent to 120 million USD, despite significant market fluctuations.
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The 'roller' investor earned profits of up to 5.5 million USD through the long ETH position.
The number of ETH held increased from 4,000 to 25,100 in just one day.
The strategy of continuously buying back when the market fluctuates helps increase the total asset value to 120 million USD.
Who is the 'roller' investor and what results were achieved from the long ETH position?
On-chain analyst Yu Jin noted that an investor nicknamed 'roller' turned 740,000 USD into 6.16 million USD by holding long ETH positions. This is a prime example of an effective investment strategy in the highly volatile cryptocurrency market.
The continuous position increase strategy helps the 'roller' maximize profits, bringing in 5.5 million USD in earnings from profit-taking while maintaining long-term positions as ETH prices rise.
This also demonstrates that technical analysis combined with risk management can yield significant profits even when the market is sometimes volatile.
How did the 'roller' investor specifically implement the strategy?
Starting with a long ETH position worth 125,000 USD, the 'roller' generated a profit of 43 million USD before locking in a profit of 6,865 million USD. Then, about 6.99 million USD was placed into a new position but the loss was reduced to only 780,000 USD.
Unfazed by temporary fluctuations, the 'roller' continued to use the 740,000 USD capital to buy more ETH, causing the total position value to soar to 6.16 million USD.
The current liquidation price of this position is 4,666 USD, indicating tight risk control in this investor's long strategy.
“Few can maintain and continuously increase their position in such a volatile day, this is clear evidence of sharp market judgment skills and experience.”
– Yu Jin, on-chain analyst, August 2023 report
What are the benefits and risks of the long ETH position increase strategy?
The strategy of buying more ETH when prices fluctuate helps capitalize on volatility to accumulate assets, especially during strong upward trends. In fact, the 'roller' investor increased their ETH holdings to 25,100 Tokens.
However, expanding positions also carries significant risks if the market suddenly reverses, which can lead to high losses. Therefore, setting a reasonable liquidation price like 4,666 USD is crucial to limit financial risk.
Flexible capital management and close monitoring of fluctuations help investors maintain their positions while acquiring significant profits in a short time.
How can investors leverage volatility to optimize profits in the ETH market?
The key lies in increasing positions when the market adjusts but still trends upward. In the case of the 'roller', buying in when ETH decreased helped accumulate a significant amount of Tokens at a lower average cost.
Expanding capital at the right time while arranging flexible stop-loss orders helps minimize risk while maintaining long-term price increase opportunities. This experience has been noted by expert Yu Jin as an effective method for trading in fast-moving cryptocurrencies.
Additionally, monitoring on-chain data helps investors accurately assess market strength to make quick and reasonable decisions.
Frequently Asked Questions
How much initial capital did the 'roller' investor start with?
How does the strategy of increasing long ETH positions benefit investors?
This strategy takes advantage of price fluctuations to accumulate more Tokens and maximize profits when the market rises.
What is the current liquidation price of the 'roller' position?
The current liquidation price is set at 4,666 USD to limit maximum risk.
How to limit risks when expanding positions in the cryptocurrency market?
Investors need to set reasonable liquidation prices and closely monitor the market to avoid substantial losses.
How does monitoring on-chain data benefit ETH investment?
On-chain data provides an accurate view of cash flow and market sentiment, aiding effective trading decisions.
Source: https://tintucbitcoin.com/rolling-brother-loi-55-trieu-usd-eth/
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