Diamond hands Ethereum holder makes $131.7M in 2 years

A cryptocurrency investor made a profit of $131.72 million by investing in Ether during the 2022 bear market and holding it through uncertain market conditions for two years.

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Reaping profits through hodl strategy Diamond hand investors eye memecoins

Blockchain analytics firm Lookonchain identified an Ether (ETH) wallet address of an investor with diamond hands, showcasing the long-term losses associated with panic selling. Diamond hands refer to individuals who hold on to their investments amid market volatility and price fluctuations.

Source: <a data-ct-non-breakable="null" href="https://x.com/lookonchain/status/1837760199974858818" rel="null noopener" target="null" text="null" title="https://x.com/lookonchain/status/1837760199974858818">Lookonchain</a>

According to Lookonchain, the investor purchased 96,639 ETH from the Coinbase crypto exchange between Sept. 3 and 4, 2022. At the time, Ether was trading at roughly $1,567.

Reaping profits through hodl strategy

As a result, the whale investor acquired $151.42 million worth of ETH tokens in the process.

<p><em>Ethereum purchase timeline of the diamond hands Ethereum investor. Source: Lookonchain</em></p>

In March 2024, the investor moved more than 72% of the initial investment (70,000 ETH) to the crypto exchange Kraken through multiple transactions. At the time of transfer, the market price of Ether was $3,062, representing $214.34 million worth of transfer.

<p><em>Onchain history of Ethereum deposits by a diamond hands investor. Source: Lookonchain</em></p>

Apart from the recent Kraken transfers, the investor holds 26,639 ETH in their wallet from the original purchase, which currently stands at $68.81 million.

Diamond hand investors eye memecoins

Throughout the years, the buy-the-dip mindset has enabled crypto investors to record high long-term returns.

Related: Diamond hands: Mt. Gox creditors hodl Bitcoin despite 10-year wait

Recently, a Shiba Inu (SHIB) investor with diamond hands made a $1.1 million profit on a $2,625 investment following a three-year wait. Lookonchain noted:

“After being dormant for 3.5 years, the super diamond trader finally sold $SHIB at a profit. He spent 2 $ETH($2,625) to buy 48.09B $SHIB on Feb. 1, 2021, and sold it for 278.7 $ETH($1.1M) just now, a gain of 419x!”

The trade occurred two weeks after another savvy crypto trader turned $3,000 worth of Pepe into $46 million by trading the Pepe (PEPE) memecoin during the reemergence of the GameStop saga, which boosted the price of certain memecoins.

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