Is Meme Mania Signaling the Peak of the Crypto Market? Andrew Kang Sells All ARB, Goes Short on Bitcoin and ETH

Andrew Kang, co-founder of Mechanism, sold a large amount of Arbitrum governance token ARB today, making a profit of approximately $700,000. This batch of ARB was purchased by Andrew Kang before the recent surge in ARB prices, attracting attention. With the cryptocurrency market experiencing a significant downturn and meme coins skyrocketing, it is not difficult to recall the chaos of Dogecoin in 2021, hinting at a possible market downturn ahead.

Warning: Such operations should only be used as reference, as the motives behind on-chain behavior are subject to external interpretation.

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Andrew Kang Sells ARB

Andrew Kang, who accumulated a large amount of ARB between 4/5 and 4/6, sold 2.285 million ARB on the morning of 4/20 at a price of around 1.5, earning $3.5 million. Compared to the initial purchase cost of around 1.24, the actual profit was approximately $700,000. The following image shows Nansen's trading record of Andrew Kang.

Some netizens shared a tweet from Andrew Kang on 4/16 expressing optimism about the development of Arbitrum, finding his short-term selling behavior somewhat contradictory.

The fact of the matter is that Arbitrum is the fastest growing blue chip chain not yet valued at blue chip status and will rerate to be top of the alt L1/L2 stack

Arbitrum IS the fastest horse pic.twitter.com/CBfZs3dvvj

— Andrew Kang (@Rewkang) April 15, 2023

Andrew Kang Shorts Bitcoin and ETH on GMX

At the same time, Andrew Kang shorted Bitcoin and ETH on GMX, making a total profit of about $200,000. However, this only represents Andrew Kang's positions on GMX contracts and does not reflect other operations in centralized institutions. It could also be based on hedging for rational considerations.

On the evening of 4/19, Andrew Kang already mentioned that the market does not move straight up, and it is best to break free from leveraged long positions before heading to the next high point.

Review Podcast: Revisiting Arbitrum: Operation Mechanism, Governance Disputes, and Innovative Protocols feat. Xie Dong

Andrew Kang: Shorting Will Be More Profitable in the Coming Weeks

On 4/21, Andrew Kang once again stated that there are many joyous times for altcoins, most of which indicate a peak. Shorting will be more profitable than going long in the coming weeks.

On 4/21, Andrew Kang opened short positions on GMX on Avanlanche: