Reddit: the MOON trader cashes in 550% on Polymarket and bets on the continued growth of Bitcoin

The owner of Reddit (MOON) recently achieved a 550% return using the Polymarket prediction platform, while Bitcoin surpassed $50,000. 

This trader had invested in the “Yes” option of Polymarket’s betting contract, related to the question “Will BTC reach $50,000 by February?”, which has now expired. 

The anonymous trader, known by the pseudonym u/MeLLoN98, is currently betting on the further increase in the price of Bitcoin, predicting that it will reach a record level by the end of the first quarter.

Let’s see below all the details. 

Betting on Bitcoin on Polymarket at the core of Reddit trader’s success (MOON) 

As anticipated, currently, some traders are achieving higher returns than the market thanks to the use of the decentralized prediction platform Polymarket. 

An evident example of this success is represented by u/MeLLoN98, an influential contributor of the r/CryptoCurrency community on Reddit.

This trader achieved an incredible 550% return on investment after purchasing over 90,000 shares in the “Yes” side of a betting contract on Polymarket, related to the question “Will BTC reach $50,000 by February?”.

The contract was settled as positive on Monday, following Bitcoin (BTC) surpassing $50,000 on the Coinbase (COIN) listing on Nasdaq, reaching the highest peak since the beginning of December 2021.

We remind you that operators on Polymarket have the possibility to buy or sell shares that reflect the outcome of an event. Furthermore, these shares can be redeemed for $1 in case of a correct outcome.

In an interview conducted on X, u/MeLLoN98 stated the following: 

“I converted 110,000 Moons into 14,000 USDC on Kraken and bought 91,409 shares on Polymarket at an average price of about 15 cents. So I spent $14,000 and got $91,400.”

It is important to note that MOON is the native token of the r/CryptoCurrency community, which has a whopping 7.4 million users.

From the MOON ERC-20 token to winning bets on Polymarket

As we know, the MOON ERC-20 token is awarded to community members as recognition for their contributions on Reddit, and it is freely tradable within the community. 

At the same time, the USDC stablecoin, with a market capitalization of over 27 billion dollars, plays a prominent role in financial markets.

In the case of u/MeLLoN98, he used his freely obtained MOON tokens to bet on the price of Bitcoin, winning over $91,000. 

With the prospect of accumulating additional MOON, the user has planned strategies based on the future integration of moons in Arbitrum One through a partnership with Celer Network, increasing the available liquidity.

Polymarket, on its part, offers several betting contracts related to Bitcoin and Ether.

One of them, launched in December, allows traders to speculate on the achievement of a new BTC price record on Binance by March 31st. 

The shares of the Yes side are currently traded at 18 cents, reflecting an 18% expectation that bitcoin will surpass $68,789 by the end of the first quarter.

u/MeLLoN98, also known as RedditMoons-10$ on Polymarket, wanted to make an even bolder bet by purchasing over 230,000 shares on the Yes side of a contract, as he stated:

“This bet is much crazier. I invested about $27,000 and if it comes true, I will receive $230,000.”