Crypto trader earned more than $400,000 on DeFi tokens in a month
Date: 2023-07-17 Author: Karina Ziganova Categories: CRYPTO PAYMENTS, BUSINESS
To earn almost half a million, you don't have to hunt for fly-by-night memecoins. According to Lookonchain, the trader made such a profit due to the bullish dynamics of tokens over the past month.
One crypto trader bought tokens of the largest DeFi projects and earned $427,000 in 30 days. His portfolio includes Uniswap's UNI, LDO's Lido, and AAVE's Aave.
Yield 40% in 30 days
Briefly about the main thing: you won't be able to earn half a million on DeFi tokens in a month with a hundred dollars in your pocket. You need a start-up capital of about $1,000,000.
On June 16, 2023, an anonymous trader with the address Ox123d spent $942,000 on investments:
$312,000 for the purchase of 71,891 UNI at a price of $4.34;
$318,550 to buy 6371 AAVE at $50;
$310,378 to buy 189,255 LDO at $1.64.
30 days later, on July 15, UNI was worth $5.85, AAVE was trading at $79, and LDO was trading at $2.37. He sold the purchased coins and made a profit of $1.37 million:
$420,562 per UNI;
$503,309 for AAVE; and
$448,534 per LDO.
The secret of success
The investor chose to buy "blue chips" of the DeFi sector. Projects with a good reputation and stable interest from users have shown good results over the past 30 days.
However, given the general optimistic mood in the cryptocurrency market, the investment strategy in this case is unlikely to play a decisive role. A trader could just as well invest in other popular digital assets from the top hundred CoinMarketCap ratings. Almost all showed growth over the past month.
Two leading digital assets — Bitcoin (BTC) and Ethereum (ETH) — updated annual highs during this period. The value of mid-cap digital assets such as Bitcoin Cash, Solana, and others has also skyrocketed to new heights.
According to Tradingview, the market capitalization of all crypto assets grew by 17% during this period and amounted to $1.18 trillion at the time of writing.
Growth drivers
At the end of June, several traditional financial institutions, including the world's largest asset manager BlackRock, applied to register a spot ETF for bitcoin. Around the same time, the EDX Markets cryptocurrency exchange, backed by Wall Street giants, was launched.
The positive mood of the market continued in July, when the court sided with Ripple in the case against the US Securities and Exchange Commission (SEC) over the classification of XRP as a security.
These developments have improved the investment climate in the cryptocurrency market and contributed to the growth of most coins.
