The process of pumping and discharging of the crypto "whale"

When we enter the market, we all have a common goal: to make money. Don't confuse investing for technology and finding profits. Superior technology, huge funding rounds or "pink" stories are really just tricks to build trust. In this market, trust is the main driver of growth, not technology. When the market goes down, even top-notch technology will be abandoned. Altcoins, in essence, are just financial games that the "Whales" use to make huge profits. Market Cycle Surely you have heard of the market cycle: BTC first rises, leading the way. Then the money flows into ETH. Next are the top coins. Finally, the smaller Altcoins or trend-based ecosystems come in. With each growth cycle, the main goal of Whale is to create FOMO (fear of missing out) in the community, to lead the money into more frenzy steps. Pumping and Discharging Process of Whale Sharks

  1. Consolidation stage During the market bottoming phase, Whale starts buying in large quantities. Source of goods: Goods from small players, who have lost or lost patience after a long period of price decline. Characteristics: The price often moves sideways for a long time, with not much volatility. This is the ideal time for Whales to accumulate a large amount of coins.
  2. Price Pushing Phase Whales will not push the price up in a straight line. Instead, they will push the price in pulses to create liquidity and stimulate crowd psychology. First rhythm: The price increases, attracting attention. Newcomers see the sharp rise and start buying in. However, they tend to panic easily if the price drops by 10-20%, leading to early sell-off. Shakeout: When the price has risen, bottom buyers tend to take quick profits for fear of a return drop. This helps the Whales eliminate some of the small players.
  3. Adjustment Phase After a rise, the price will move sideways with a small amplitude. At this time, the 'peak-chasers' are impatient, impatient, and panic-selling to switch to other coins that are rising. The Whale Strategy: Continue to accumulate from those who sell.
  4. Pump even harder After removing the majority of retail investors, Whale will push the price up strongly, possibly x2, x3 in a short time. Crowd effect: Those who had previously locked in profits regret and jump back in to buy again. Those who see the momentum increase too strong also join in with the expectation that the price will continue to rise.
  5. Peak FOMO Stage When the market becomes too hot, every day the account increases by 20-30%, the general psychology is 'prices can only go up'. Psychological mistake: Investors believe that the price will continue to x3, x5, and do not want to sell for fear of missing out. Whale's action: Start slowly selling off. The price will stall or slightly decrease, but investors don't pay attention because they believe it is just a minor adjustment before it continues to rise.
  6. Clearance and Freefall When the Whale has finished selling off its stock and no longer has buying support, the price will fall freely. Retail investors trapped at the peak, suffering heavy losses. The market returns to the bottom, starting a new accumulation cycle. Lesson from the Pumping Process Understand the nature: This is a financial game, not a technological investment.Emotional control: Do not let FOMO or fear dominate.Track the cycle: Grasp the cycle to enter and exit properly, avoid buying at the top or selling at the bottom.Patience: When the price moves sideways, that's when the Whales accumulate. This market is not for those who want to get rich quick without understanding the rules of the game. You should only participate when you are ready to learn and accept risks.
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The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
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