The story of a blockchain developer who has increased his capital 250 times by buying and selling NFT!
Recently, a blockchain developer interested in the field of non-fungible tokens has been able to turn her 0.6 Ethereum into more than 150 Ethereums by investing in the NFT market. He has provided advice for those interested in investing in the NFT market so that they can have a good experience of operating in this market.
According to CryptoGlobe, in February, an NFT trader in a long tweet shared his experience of making money using the excitement and huge capital that has been sent to the NFT market.
The Twitter user, nicknamed Cirrus, claims to have made nearly $500,000 without using “whitelists”, bots, or NFT offerings. He says he has focused on only two projects in the NFT space and advises others to repeat what he has done by finding a proven project instead of browsing between different projects.
Whitelisting is a process in which the developers of an NFT project set a specific time frame for the addresses of their original fans so that they can register the NFTs of a collection in the blockchain during that period. By doing this, users can avoid some kind of competition in paying heavy network fees.
Cirrus has invested in the Lazy Lions collection, which is about 2.5 times more expensive than when the NFTs were purchased in August 2021. According to him, the relatively average price increase of the project shows that smart traders can earn a lot of money without the need for a project market to rise sharply.
The trader said that investors should study the features and benefits of their chosen project, which may take hours, but this is the “most important step in the buying process” of an NFT. He said he had been monitoring the token list for a month before making sure he was investing in the Mutant Punks collection.
Cirrus has said that new investors should focus on their liquidity, rather than allocating all their capital to a single transaction.
Cirrus tweeted on Twitter:
It is usually a mistake to buy all your capital. A slight downtrend and the price of collections reaching the bottom can hurt you in the short term, and in addition, you will have no capital to buy cheap NFT from scared sellers in the event of a market downturn. Now I get excited when I see a downward trend. Periods, where fear is rampant in the market, are the best opportunity to buy. Buy when everyone is scared and sell when everyone is excited.
He advised traders to work in the project market Discord channel to gain the trust of community members of various projects and to gain a chance for private dealings with them. Cirrus has said that this type of transaction has saved his 6.5% in payment of fees so far.
Cirrus said at the end of his speech:
Choose a sustainable project. Get so familiar with the pricing trend that when you look at each of the 10,000 NFT sets, you can immediately see which one is selling today. View the list of NFTs in a collection. Be sensitive to your pricing to sell an NFT fast. Connect with others and gain their trust.