A position trader has managed to make a profit of $13.2 million (345%) in seven months by buying and holding the cryptocurrency RNDR, which has been dubbed the “NVIDIA of cryptography” due to its decentralized GPU rendering network. According to SpotOnChain, the trader started with a purchase of 1.69 million RNDR on Coinbase in November, with an initial investment of around $3.83 million at an average price of $2,265. Despite not reaching RNDR’s peak price in March and weathering a significant drop in April, the trader sold his entire RNDR stack on May 24 for $17.03 million, resulting in a profit of $13.2 million, 345% higher than the initial investment.
Position trading, a long-term strategy where traders hold positions for weeks, months, or even years, allows traders to benefit from important market trends and avoid short-term price fluctuations. This approach requires less time and effort compared to day trading, with a focus on extensive research and analysis to identify high-quality assets with growth potential. By holding positions for long periods, traders can benefit from compounding returns and potentially lower transaction costs, but effective risk management and patience are key.
RNDR, the “NVIDIA of cryptocurrencies”, has seen a 345% surge in value from November 2023 to May 2024, driven by market interest in AI-related assets and the democratization of high-quality rendering through decentralized GPU solutions. With a market capitalization of $3.9 billion and trading at $10.15 as of May 26, RNDR has significant growth potential and investor confidence.
In summary, a position trader’s patient buying and holding of RNDR resulted in a profit of $13.2 million, showcasing the benefits of position trading as a long-term strategy. RNDR’s performance as the “NVIDIA of cryptocurrencies” reflects the growing demand for GPU-intensive applications and its potential for solid investments. As with all investments, it is important to remember that investing in cryptocurrencies carries risk and should be approached with caution.
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https://finbold.com/position-trader-profits-13-million-345-with-the-nvidia-of-crypto/