Patience! Crypto Investor Bags $9M Profit Holding $WBTC Through Bear Market

A patient trader who held onto their crypto investment during the prolonged bear market of 2022 has pocketed $9 million in profits, on-chain data reveals.

The journey began on January 13, 2022, when the trader bought 70 Wrapped Bitcoin (WBTC) at $42,560 per coin and then deposited it into the decentralized finance (DeFi) protocol Compound. WBTC is a tokenized version of Bitcoin on the Ethereum network, which moves in tandem with the price of BTC.

Shortly after the initial investment, the price of Bitcoin started falling, but this trader remained unfazed and displayed unwavering conviction.

Fast forward to February 15, the price of $WBTC returned to around $42,000, and the trader bought an additional 80 $WBTC and 40 more in March – when the coin started showing signs of recovery.

Notably, the price of $WBTC surged to over $47,000 soon after the purchase in March, but this trader refused to sell their holdings to take profits. Afterward, Bitcoin entered a prolonged bear market, with the cryptocurrency’s price dropping significantly.

Winning Big 

Holding $BTC firmly is victory!

This guy started buying $WBTC on Jan 13, 2022, when the price was $42,560.

The $WBTC price finally rose to $44K ~2 years later, and he/she started selling $WBTC.

1/ 🧵
Let's take a look at how he trades $WBTC. pic.twitter.com/MHlbGh3M0F

— Lookonchain (@lookonchain) December 10, 2023

Despite this, the investor held firm and refused to succumb to panic selling. Instead, they used this period to accumulate more $WBTC, amassing a total holding of 401 tokens with an average purchase price of $28,223 per $WBTC.

Finally, with $WBTC again breaking above the $44,000 mark, the trader started selling their holdings and made $9 million in profit.

This story demonstrates the power of patience and long-term investment strategies in the crypto market. The trader could capitalize on the eventual price recovery and reap significant profits by holding on to their investment during the prolonged bear market and accumulating more tokens at lower prices.

However, it is essential to note that this is just one example, as the market can be unpredictable. While the investor’s strategy was successful, it is not guaranteed to work for everyone.