The Lookonchain platform, specialized in tracking the movements of major cryptocurrency wallets, reported that a trader started his journey with a modest amount of $125,000 and managed to turn it into over $43 million, thanks to his bold bets on Ethereum.
However, after withdrawing a net profit of $7 million on August 18, he decided to return once again. But this time his return was catastrophic, as he opened new trading positions on Ethereum. When the price of Ethereum suddenly collapsed, all his positions were liquidated, and he lost $6.22 million, leaving him with only $771,000 in two days from the millions he had earned in four months.
Greed and Lack of Risk Strategy
According to a market observer, the loss of this trader is not just bad luck but a direct result of the absence of a clear risk management strategy. Had the trader followed a disciplined approach, he could have preserved a significant portion of his profits instead of losing nearly all of them.#StrategicTrading