A crypto trader with a significant trading industry has become the biggest victim of the volatility as they lost nearly $10M ($9.73M to be accurate). Although the ongoing crypto market conditions are quite turbulent, resulting in investors losing major holdings, this case is different as the loss happened in a Non-Fungible Token (NFT). How? Let’s discuss this crypto news.
Crypto News: Trader Lost $9.73M With CryptoPunk 3100
In contrast to the rising demand for cryptocurrencies, the hype of NFTs is on the decline. Interestingly, some of the best ones were sold for as high as a million in their prime. An anonymous crypto trader also bought a CryptoPunk 3100 NFT a year ago.
At that time, this was valued at $15.79M or 4500 ETH per Lookonchain X post. However, the same’s worth declined over time, resulting in the trader bearing a significant loss as they sold for 500 ETH.
The straight calculation put the trader in a loss of $774k. However, the calculation is slightly different, as Ethereum price has declined in this interval due to the weeks-long crypto market downtrend.
At the time of buying, one ETH was equivalent to $3,509. However, the same had dropped more than half (57%) when selling, bringing the trade’s loss to $9.73M.
Not the Only Crypto Trader Affected by Ethereum Price Crash
Ethereum has lost nearly 55% of its value in a year. More importantly, it has declined 68% from its prime, set nearly three years ago. Due to this crypto news, the ETH holders are struggling significantly,
A recent X post by Coin Bureau CEO and founder revealed that a majority of the Ethereum investors are underwater due to profitability divergence, Ethereum’s MVRV Slip, demand disparity, and a few other reasons.
Ethereum’s MVRV dipped below 1.0 in March. This means the average ETH investor is now underwater, unlike their BTC counterparts.
Although he highlighted that the rising global liquidity could tackle these issues, the investors will likely face further losses amid the worsening US-China trade war.
Frequently Asked Questions (FAQs)
CryptoPunk 3100 is a rare and once valuable NFT that has lost demand, pushing a crypto trader into a nearly $10M loss.
From the time the crypto trader bought the NFT, the price of Ethereum dropped by 57%.
The crypto market, including Ethereum, is struggling in the ongoing US-China trade war. If it continues, the downfall could continue.
Pooja Khardia
With a deep-seated passion for reading and five years of experience in content writing, Pooja is now focused on crafting trending content about cryptocurrency market.
As a dedicated crypto journalist, Pooja is constantly seeking out trending topics and informative statistics to create compelling pieces for crypto enthusiasts. Staying abreast of the latest trends and advancements in the field is an integral part of her daily routine, fueling a commitment to delivering timely and insightful coverage
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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