Bullish crypto trader borrows $12 million to buy Ethereum this week
A bullish cryptocurrency trader has borrowed nearly $12 million in three stablecoins to buy over 4,459 Ethereum (ETH) since August 11. These decentralized finance (DeFi) trading operations signal optimism at these prices, forecasting a surge for the leading Web3 infrastructure. DeFi traders can leverage their holdings as collateral to borrow cryptocurrencies like stablecoins and open long positions buying an asset. Essentially, this allows investors to buy Ethereum without decapitalizing, sell at higher prices, and amass profits after repaying the loan. Finbold recently reported a similar operation from the world’s fifth-richest crypto investor. In particular, Lookonchain reported one of these operations from the crypto wallet address ‘0x940df59ba33f3387deff3c2400fecf1286fcce4c’ on August 13. This trader has borrowed $6.6 million, $2.7 million, and $2.5 million in DAI, USDT, and USDC, respectively. ...