🔥Hi friends! In this idea I will explain you a few methods how the whales (big players) take away your crypto and make money. If you want to be on the WHALES side and make money, you need to read this idea to the end.
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🔥 So today we gonna talk about the capitulations and how whales robbed the beginners in trading. Also, at the end I show you ONE pattern that help you to avoid this and make money like the BIG player.
📊 Capitulation is the worst moment at the market for an trader, especially a beginner and the best time for a big player (a whale). Capitulation is a period of disappointment for the most players in the market and a massive sale of their own crypto because it has fallen in price or consolidate in narrow range for the long time.
🔥 There are 2 types of capitulation in total: 1. Price-based capitulation. It happens when the price of Bitcoin falls by 60-80% and the most traders start to sell their crypto because of fear to lose all deposit. Most likely, you have already heard about this type of capitulation. 2. Time-based capitulation. It happens during a long, exhausting consolidation and traders start think that it never end. This is happening now, but not many people know how it affects traders.
You can see the only ONE type of capitulation on chart. I marked just time-base capitulation because I'm sure that you already know about the price-based capitulation (usually, the global dump).
📊 HOW DO WHALES BUY THE BITCOINS? Imagine that you are a big player who has 100-200 mln dollars. How can you buy such ammount of Bitcoin?
You do not have enough liquidity on the exchange to buy a sufficient amount of cryptocurrency with one order by simply pressing the "BUY" button. The max amount of BTC that you can buy for 1 order are about 5-7 mln dollars. When you are buying for a larger amount of money, the price will just make a big shadow to fill your order and you can get an average entry point by +3-5% higher.
📊 Therefore, whales have several ways to buy crypto safely: ✅ buy Bitcoin from one or more large players (other whales, exchanges OTC, etc.) ✅ buy from a large number of small players on exchange during the consolidations
Both methods are great for a whale, but usually, if you buy such amount of Bitcoins from another whale, you can pay 1-2% fee , because you can get your Bitcoins immediately, instead of waiting for your buy order to be completed on the exchange.
✅ Most often, they place limit orders at one price level or range and the price smoothly fills their limit orders. It is most convenient to do this on consolidation.
Below you see an example of whales accumulating Bitcoins NOW. The green circles show the number of Bitcoins that were bought by the whales in current $18,000-25,000 range.
It's clear example how the whales accumulate BTC during the consolidations. Of course, they have enough liquidity to BUY because the most of retailers bought BTC at $50,000-69,000 and now lost almost 70-80%. The retailers sold their crypto holdings in panic because want to save this last 20-30% of deposit.
The whales have another scenario. They sold at $50,000-69,000 to retail traders and now want to buy crypto at a 70-80% discount. That is how you should do to become the part of the whales too✅
📊 WHAT HELP YOU TO AVOID CAPITULATION, THIS ROBBERY AND GROW YOUR DEPOSIT? I just want you to show 1 crypto pattern that help you to avoid from losing money and join the whales on the PUMPS. As you can see, after the red marked time-based capitulation the price of BTC make dump (or price-based capitulation). After this DUMP and green time-based capitulation starts the massive PUMP!
🔥SCHEME: red time-based capituation (#1, 3 or 6) - DUMP - green time-based capituation (#2, 4, or 7) - PUMP🔥
Now we see that the Bitcoin price is back in consolidation near #7. If we have correctly determined that #6 as a red capitulation and it was dump after it, then according to our pattern, a strong pump should begin very soon. Now you know only need to find the best entry poiny to your trade and make %%.
So traders, today you have learned: 🔥 what are the types of capitulation 🔥 how whales buy Bitcoin and now you know how to act in the most dangerous moments for beginners. Now whales will not rob you for sure 🔥 a new pattern that you can use in your own trading and understand the global trend of the crypto market
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P.S. Personally, I open an entry if the price shows it according to my strategy. Always do your analysis before making a trade.
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