Mystery investor turns $25k into $2.5 million overnight in ‘mind-blowing’ transaction
The post Mystery investor turns $25k into $2.5 million overnight in ‘mind-blowing’ transaction appeared on BitcoinEthereumNews.com.
The stock price of electric vehicle (EV) manufacturer Rivian Automotive (NASDAQ: RIVN) continues to record significant short-term gains amid increased interest in the company. During this short-term rally, select investors are employing various strategies to achieve substantial profits. One of the latest strategies saw a mystery investor transform a $25,000 investment into a staggering $2.5 million overnight, as highlighted by equities commentator Manz in an X post on June 26. “The mystery $RIVN Call Buyer is going to turn 25K into 2.5 Million. 100x Return; overnight. Absolutely mind-blowing,” Manz. Rivian stock call option. Source: Manz According to the shared data, the investor purchased 5,000 call options for Rivian for $0.05 per option. These options expire on June 28, 2024, and a strike price of $14. The specific nature of the transaction was identified as a “sweep,” indicating a large order split into multiple smaller orders to increase the chances of execution at the desired price. The implied volatility of these call options is notably high at 134, reflecting significant market expectations of potential price movement. At the time of the transaction, Rivian’s stock was trading at $11.73. RIVN profitability amid increased investment Indeed, Rivian stock has been a source of speculation for insider trading, resulting in some investors earning significant profits. For instance, as reported by Finbold, a single trader bought $14 call options and $13 call options, both set to expire on June 28. With an investment of $16,000, the trader was poised to make millions in profits. Meanwhile, Rivian stock’s bullish sentiment can also be attributed to the growing trust in the company from established entities. Particularly, the latest development involved an investment of up to $5 billion by German automaker Volkswagen. The deal creates a joint venture, allowing the two companies to share technology. Additionally, the company…
Filed under: News - @ June 26, 2024 12:18 pm