1 Ethereum Shorter Made $1.1 Million With 50X Leverage In 2 Days
A cryptocurrency trader has made over $1.1 million in two days using a 50x leveraged Ethereum shorting strategy. The trader opened the position when Ethereum was at $3,428, shorting 19,186 ETH worth $64.5 million on the morning of Dec. 26 (UTC), according to data from Hypurrscan.
In addition to the $1.1 million unrealized profit, the trader also earned $680,000 in funding fees from the short position, which had a liquidation price of $4,750. The position, which was opened on Dec. 24, initially lost more than $1.2 million on the first day, according to Lookonchian. Leveraged trading can increase profits but also magnifies the risk of loss.