When a cryptocurrency has ended a prolonged bear market cycle lasting several years and then erupts from the bottom into a bull market, breaking through historical highs.
At this time, many people believe that the rise is over and a crash is imminent, or they think there are too many people chasing the price and feel the weight of the vehicle is too heavy, thus they dare not enter and choose to short. These individuals go against the trend, swim upstream, and act contrary to the natural flow of time, treating the trend as an enemy, leading to a miserable outcome.
The manipulators buy up more cheap chips with a small amount of money at the bottom of the bear market cycle. If the amount they accumulate at the bottom does not reach 80% within a few years, they will not easily initiate a bull market.
Once a bull market erupts, it means they hold about 80% of cheap chips, laying the groundwork for price increases in the future. Therefore, to some extent, the price increase is determined by the manipulators.
Although the remaining 20% of chips are in the hands of participants, they are insufficient to create significant selling pressure or impact on the future trend. In the eyes of the manipulators, that 20% of chips is just an appetizer, hardly worth mentioning.
Thus, to summarize a very simple logic, manipulators use a small amount of funds to purchase more cheap chips during the bear market cycle, enabling them to drive up higher prices with a small amount of funds during the bull market cycle.
Like Jack Ma, using 5 billion in funds to leverage thousands of billions, the principle of leverage.
