- Trader earns $240K with 131 ETH profit from WSB trade.
- WSB’s price drops over 40% after reaching an all-time high.
- MACD and MFI suggest a bearish trend, but the oversold market could present a buying opportunity.
On May 3rd, a trader missed out on PEPE but discovered WSB only six minutes later. Seizing the opportunity, he purchased 1.9 billion WSB for 6 ETH and sold 500 million WSB for 38 ETH just 15 minutes later.
Not satisfied with his profit, he paid 24 ETH to purchase 608 million WSB again, only to sell 613.4 million WSB for a whopping 123 ETH. He earned around 131 ETH ($240K) and has 1.4T WSB ($476K), making him the 5th biggest WSB holder.
2/ This guy bought 1.9B $WSB for 6 $ETH and sold 500M $WSB for 38 $ETH 15 mins later.
— Lookonchain (@lookonchain) May 3, 2023
Then spent 24 $ETH to buy 608M $WSB again, and sold 613.4M $WSB for 123 $ETH.
He made a total of ~131 $ETH ($240K) pic.twitter.com/eDMdngvt5S
However, after reaching an all-time high of $0.0006912 in the previous 24 hours, bullish power waned, and the WSB price fell to a 24-hour low of $0.0002905. At press time, WSB was valued at $0.0003389, a 44.79% drop from its all-time high, signaling a severe short-term correction. The trading volume of WSB fell by 78.29% to $22,330,861, indicating a drop in investor interest and a possible change in market attitude regarding WSB.
WSB/ USDT Technical Analysis
Recently, the MACD blue line on the WSB price chart dropped below its signal line, entering the negative territory with a value of -0.000017. This move indicates that momentum has shifted negatively and that a sell-off is possible in the near future, making it a difficult time to purchase.
The histogram on the MACD indicator has also gone negative, suggesting a likely downward trend in the market, adding to the bearish momentum. On the other hand, the Money Flow Index rating of 11.40 indicates that the market is now oversold, implying that there may be a buying opportunity for investors wishing to join the market at a lower price point.
With a Chaikin Money Flow of -0.26, selling pressure is slightly greater than purchasing pressure but not enough to warrant concern over a bearish trend. If the score rises and approaches zero or becomes positive, it may indicate a movement toward a bullish trend.
In conclusion, the WSB market experienced a severe short-term correction after reaching an all-time high. Despite the negative momentum, oversold conditions may provide a buying opportunity for investors.
