How a Premature Sale Costs This Crypto Investor $180 Million

A recent report from blockchain analytics firm Lookonchain has detailed how a whale trader, known as "LeBron," missed out on a staggering $180 million profit due to premature selling.

The trader initially sold 4.52 million Official Trump (TRUMP) tokens at an average price of $1 per token, securing a return of 4.52 million USDC. However, shortly after the sale, TRUMP’s value surged into double digits, leaving LeBron with unrealized gains that could have transformed into a nine-figure profit.

In a later attempt to capitalize on the token’s momentum, LeBron re-entered the market, spending 2.5 million USDC to repurchase TRUMP. Unfortunately, the trader exited again quickly, incurring a $67,000 loss instead of profiting from the ongoing rally. Lookonchain noted that other large-scale traders made similar missteps, selling their holdings early and missing out on massive potential returns.

One trader sold TRUMP tokens for 1.35 million USDC, bypassing what could have been an additional $158.7 million in profits. Another exchanged their holdings for 2.36 million USDC, forfeiting the chance to earn $157 million more.

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The excitement surrounding TRUMP wasn’t confined to individual trades. The token’s debut on the Solana blockchain created significant market activity, prompting Circle, the issuer of USDC, to mint 2.5 billion USDC on the Solana network just days after TRUMP launched. This surge in trading activity underscores the high-stakes nature of memecoin markets, where timing can mean the difference between extraordinary profits and missed opportunities.

The story highlights the volatile and unpredictable nature of memecoins, where even experienced traders can misjudge market movements. In the case of TRUMP, fortunes were left unrealized as traders struggled to navigate the rapid price swings characteristic of this high-risk sector.

Alexander Stefanov