Cryptocurrency

Millions

Gold

April

Yield

<div class="finbold">
 <p class="paragraph">A crypto trader reportedly lost $1 million in USDT overnight, trading the meme coin PEPE with Binance‘s margin leverage. This story represents the untold reality of many other traders who rarely get to the headlines.</p>
 <p class="paragraph">The <a rel="noopener noreferrer nofollow" title="trader" href="https://thebittimes.com/tag/trader.html">trader</a> goes by the pseudonym <em>Crypto Nerd</em> on X (formerly Twitter) and reported his losses on April 13.</p>
 <p class="paragraph">In particular, <em>Crypto Nerd</em> explained he opened a 3x-leverage long position on PEPE, with $1 million worth of Tether’s stablecoin USDT. The dramatic outcome gets worse considering the memecoin trader has less than $1,000 in his banking account, as reported.</p>
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  <p class="paragraph">“Just woke up and realised I got liquidated <a rel="noopener noreferrer nofollow" title="overnight" href="https://thebittimes.com/tag/overnight.html">overnight</a>. I was 3x long PEPE. I lost everything I had. I don’t even have $1000 in my bank account but had $1M in Binance. I have been in <a rel="noopener noreferrer nofollow" title="crypto" href="https://thebittimes.com/tag/crypto.html">crypto</a> since 2017. Today I lost everything,” he posted.</p>
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 <figure class="wp-block-image size-large"><img decoding="async" width="461" height="1024" src="https://cdn.thebittimes.com/images/2024/04/13/bfab7721eef061606fdccc5f03ccc595.webp" alt class="wp-image-168591" srcset="https://cdn.thebittimes.com/images/2024/04/13/bfab7721eef061606fdccc5f03ccc595.webp 461w, https://cdn.thebittimes.com/images/2024/04/13/bfab7721eef061606fdccc5f03ccc595.webp 135w, https://cdn.thebittimes.com/images/2024/04/13/bfab7721eef061606fdccc5f03ccc595.webp 768w, https://cdn.thebittimes.com/images/2024/04/13/bfab7721eef061606fdccc5f03ccc595.webp 692w, https://cdn.thebittimes.com/images/2024/04/13/bfab7721eef061606fdccc5f03ccc595.webp 922w" sizes="(max-width: 461px) 100vw, 461px">
  <figcaption class="wp-element-caption">
   Binance wallet account. Source: X/Crypto Nerd
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 </figure>
 <h2 class="wp-block-heading" id="h-cryptocurrency-trading-loud-winners-and-silent-losers">Cryptocurrency trading: Loud winners and silent losers</h2>
 <p class="paragraph"><em>Crypto Nerd</em>‘s story is one of many others that remain untold due to the human nature of publicly celebrating their victories while hiding their failures.</p>
 <p class="paragraph">For that reason, most of the cryptocurrency market headlines are made of bullish winning stories. These reports usually highlight how someone profited millions of dollars in a few days with promising tokens or meme coins.</p>
 <p class="paragraph">Recently, Finbold reported how a Solana trader turned $35,000 into $9 million in 2 hours and how another one made $1 million trading a meme coin in a few minutes.</p>
 <p class="paragraph">Nevertheless, researchers point out that the vast majority of traders and speculators are mostly losing against a few profitable players. As usual, the market is made of loud winners and silent losers, giving un unprecise perception of reality.</p>
 <h3 class="wp-block-heading" id="h-crypto-traders-1-billion-liquidations">Crypto traders’ $1 billion liquidations</h3>
 <p class="paragraph">Notably, the recent nearly $1 billion liquidations reported this morning demonstrate the staggering amount of what cryptocurrency traders can lose. At this specific event, close to 300,000 traders had a similar experience to <em>Crypto Nerd</em>.</p>
 <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="349" src="https://cdn.thebittimes.com/images/2024/04/13/f170374f3fd7c4fa7087d8f8dad7c916.webp" alt class="wp-image-168578" srcset="https://cdn.thebittimes.com/images/2024/04/13/f170374f3fd7c4fa7087d8f8dad7c916.webp 1024w, https://cdn.thebittimes.com/images/2024/04/13/f170374f3fd7c4fa7087d8f8dad7c916.webp 300w, https://cdn.thebittimes.com/images/2024/04/13/f170374f3fd7c4fa7087d8f8dad7c916.webp 768w, https://cdn.thebittimes.com/images/2024/04/13/f170374f3fd7c4fa7087d8f8dad7c916.webp 1536w, https://cdn.thebittimes.com/images/2024/04/13/f170374f3fd7c4fa7087d8f8dad7c916.webp 1840w" sizes="(max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption">
   Liquidation Heatmap. Source: <em>CoingGlass</em>
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 <p class="paragraph">Of these, $248 million happened while trading ‘other’ cryptocurrencies, like PEPE, instead of the usual Bitcoin (BTC) and Ethereum (ETH) dominating liquidations.</p>
 <p class="paragraph">In closing, crypto traders must understand the inherent risks of opening leveraged positions. Millions of dollars can vanish in a matter of seconds in the financial world. Hence, the importance of using proper risk management strategies and avoiding weak fundamental assets like meme coins.</p>
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/this-crypto-trader-just-lost-1-million-overnight-on-binance-tbt85265.html">https://thebittimes.com/this-crypto-trader-just-lost-1-million-overnight-on-binance-tbt85265.html</a></p>

This crypto trader just lost $1 million overnight on Binance

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