Noted on-chain analyst The Data Nerd highlighted an intriguing series of trades executed by Smart Trader 0xb00. The unnamed trader profited over $400,000 from two cycles of buying and selling the little-known GROK token.

According to The Data Nerd’s thread on Twitter, Smart Trader initially purchased 30.97 million GROK for just 2 ETH (around $2,600) as the token sat near $0.000085.

After a rumor emerged that the token was a scam, GROK’s price quickly plunged 20x to $0.000004. Smart Trader then sold the entire position for 194 ETH (approximately $400,000), capitalizing on fear to lock in profits.

In total, across two trades, Smart Trader transformed an initial investment of only 2 ETH into gains of over $461,000. This demonstrates the enormous profit potential of identifying and trading lesser-known altcoins during periods of extreme volatility.

As The Data Nerd notes, traders able to enter and exit positions nimbly can generate significant returns even with unproven tokens. However, directly trading such speculative assets is an extremely high-risk activity.

Read also:

The trading activity provides an interesting case study in how whales profit from market overreactions. But for regular investors, the saga highlights the precarious nature of chasing obscure cryptocurrencies.

The post GROK Plummets 30% as Smart Trader Dumps 30,970,000; Here’s How Much the Trader Made appeared first on CaptainAltcoin.

Similar to Notcoin - TapSwap on Solana Airdrops In 2024

origin »

257 +