How an Ethereum Whale Lost $118 Million Worth of ETH on Crypto Exchanges

A major Ethereum whale recently incurred massive losses totaling around $118 million in ETH by withdrawing from and depositing to cryptocurrency exchanges at inopportune times, according to blockchain analytics firm Lookonchain.

Whale Shifts ETH as Price Rises

Lookonchain reported that the unnamed whale initially withdrew a total of 123,000 ETH from exchanges when the price averaged around $3,672. This amounted to roughly $451 million worth of ETH at the time.

However, after the Ethereum price decreased, the whale then deposited 83,000 ETH back to exchanges at an average price of $2,246 per ETH, totaling $186 million.

Mistimed Transactions Result in $118 Million Loss

By withdrawing ETH from exchanges at a higher average price of $3,672 and buying back in at the lower $2,246 price point, the whale realized a loss of approximately $118 million in potential profits.

“The whale withdrew 123K ETH ($451M) from exchanges at an average price of $3,672 and deposited 83K ETH ($186M) to exchanges at $2,246, resulting in a loss of ~$118M,” noted Lookonchain.

Essentially, the whale sold ETH too early when the price was lower and repurchased later at a higher level after missing out on additional gains. The mistimed transactions resulted in the nine-figure loss.

Read also:

Lesson on Taking Profits vs Timing the Market

The whale’s experience underscores the difficulties of trying to time the market perfectly compared to a more patient approach of taking profits. While taking profits is wise during market runups, prematurely exiting positions can also mean missing out on additional upside, as this ETH whale learned the hard way.

Check $RECQ Meme Coin

Sponsored: Invest Responsibly, Do Your Own Research.
Serves as the base currency for all transactions within the Rebel Satoshi platform
ICO stage, offering tokens at a discounted price
Facilitates a smooth and efficient economy within the arcade, supporting both arcade and in-game transactions.
Grants access to a diverse range of gaming experiences in the Rebel Satoshi Arcade,
Contributes to a decentralized, community-driven RebelSatoshi platform that integrates gaming with elements of revolution, freedom, and unity, appealing to users who value such principles.
intelligent crypto
How are  regular people making returns of as much as 70% in a year with no risk?  By properly setting up a FREE Pionex grid bot - click the button to learn more.
Crypto arbitrage still works like a charm, if you do it right! Check out Alphador, leading crypto arbitrage bot to learn the best way of doing it.

Tags:

Temitope Olatunji
Temitope Olatunji

Temitope is a seasoned writer with over four years of experience. He specializes in Web3 and FinTech topics and enjoys creating content in these areas. He holds both a bachelor's and master's degree in Linguistics. When not writing, he trades forex and plays video games.

CaptainAltcoin
Logo