In the cryptocurrency market, especially for mainstream tokens such as BTC (Bitcoin), ETH (Ethereum) and BNB (Binance Coin), investors in the bull market need to be particularly vigilant about the strategic traps that may be set by the main institutions. These traps are often designed to exploit the psychological weaknesses of retail investors in order to maximize the interests of the main institutions themselves.
Before the bull market is about to start or accelerate, the main institutions may deliberately implement price suppression. This behavior is intended to create market panic and force those retail investors with insufficient confidence to sell their positions in advance, thereby paving the way for the main institutions to collect more chips at low prices. When retail investors sell, the main institutions take the opportunity to absorb them and prepare for the subsequent price surge.
The main institutions are good at creating false information or charts through market operations and technical means to mislead retail investors. For example, they may create the illusion of account shrinkage through large orders or algorithmic trading, so that retail investors mistakenly believe that the market is about to collapse or reverse, thereby triggering panic selling or blindly chasing high prices. The purpose of this strategy is to make retail investors make wrong investment decisions at the wrong time.
In the middle and late stages of the bull market, as the market gradually approaches its apex, major institutions will begin to clean up retail investors' chips in the market. They may use drastic price fluctuations, false breakthroughs or false reversals to induce retail investors to surrender their positions. Once retail investors are successfully cleaned out, the major institutions can more easily control the market and achieve high-level shipments near the market apex to obtain lucrative profits.
Therefore, it is crucial for investors who invest in cryptocurrencies such as BTC, ETH and BNB to remain calm and vigilant. When the market enters the final crazy stage, it is even more important to avoid being confused by short-term market fluctuations and making impulsive investment decisions.
Investors should learn to analyze market trends, identify the operating methods of major institutions, and formulate reasonable investment strategies and risk management plans. Only in this way can we make steady profits in the bull market and avoid being stuck at high levels.
