• CoinStic
  • Posts
  • Crypto Whale Loses $4,500,000 Attempting To Leverage Long Ethereum (ETH) Twice: Lookonchain

Crypto Whale Loses $4,500,000 Attempting To Leverage Long Ethereum (ETH) Twice: Lookonchain

April 17, 2024

A crypto whale recently lost more than $4.5 million attempting to long Ethereum (ETH) twice, according to the digital asset tracker Lookonchain.

Lookonchain notes the whale lost $500,000 on their first attempt to long the top smart contract platform, then lost a lot more on their second try.

“This whale sold all 10,701 ETH ($33 million) on Binance to repay debt two hours ago, losing more than $4 million again!

He went long ETH by depositing ETH on Compound and borrowing USDT to buy more ETH.”

Compound (COMP) is a decentralized lending platform.

Lookonchain notes that other whales are accumulating Ethereum. One withdrew 10,000 ETH worth $31.5 million from Binance on Monday and staked it into the decentralized finance (DeFi) project Pendle (PENDLE) and Renzo, a liquid restaking token for EigenLayer. EigenLayer is a restaking protocol built on ETH.

The other whale withdrew 5,282 ETH worth $48.2 million from the crypto exchanges Binance and OKX on Monday.

ETH is trading at $3,093 at time of writing. The second-ranked crypto asset by market cap is down nearly 12% in the past week and more than 14% in the past month.

Ethereum is also more than 36% down from its all-time high of $4,878, which it set back in November 2021, according to CoinGecko. 

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: DALLE3