If you are concerned about the current decline in cryptocurrencies, I assure you, there is no need to panic. What you are witnessing is a strategic phase of market development known as Wyckoff accumulation. This method is widely used by large investors or 'whales' to accumulate assets at lower prices from less experienced traders who mistakenly believe that the market is heading for a serious decline.
Here’s how it works: initially, the price drops significantly, creating fear and uncertainty. It briefly recovers, giving traders hope, but then drops further. This pattern repeats, with each drop undermining the confidence of those holding the asset. Over time, the price steadily decreases until it reaches a critical low point, often referred to as the 'triple bottom.' At this stage, many traders, who once optimistically assessed the asset's potential, lose all hope and sell their assets at a loss, believing that further decline is inevitable.
However, this phase is not the end, it is the foundation of a strong upward trend. Whales take advantage of the pessimism to buy at these low prices, which often leads to growth.