Common methods used by Dex market makers to wash away your chips:
The first method: panic selling caused by a continuous red line without resistance, often accompanied by FUD on Twitter. This panic selling generally consumes a large amount of market supply in the short term, accompanied by a natural rebound, and then continues to retrace the lows;
This method will take away a group of inexperienced newcomers;
The second method: For players who are not afraid of a sharp drop and dare to buy the bottom and do T, market makers will have a second method → set a range, sell their own chips to suppress the price at the upper limit of the rebound to achieve a breakthrough, and then fall, so that the market loses the momentum to rise, and then fall... This creates a very "boring" market. For players who watch the market and trade, this is a very tiring stage;
This method will take away a large number of experienced traders. On the one hand, it is boring and tiring, and on the other hand, because they need to be efficient with their money, they will change their positions to chase other trending assets;
For the first two methods, many people have already cut their losses and withdrawn their profits;
The third method: For old leeks who don’t trade much and have more experience, the third method is to shake out the market after the boring market → Another sharp decline, making you feel that this coin is really finished, completely clearing the floating supply;
The third move basically shakes out all the "non-HOLDERs";
This is why there are many Deviations in encryption, and there are many Beartraps. We have seen this situation in too many assets;
After the chips at the bottom price are cleared and swept away, the dealer will gradually increase their acquisition price. This is the main signal that the accumulation of chips is about to end;
If you are a player who specializes in bottom reversals, you must see: supply is exhausted, demand is generated, and you can take action;
Overcome human nature as much as possible, and don't be led by the nose by the K-line;
The K-line of stocks can be made, and the K-line of local dogs is a landscape painting drawn by dealers;
In practice, the ideal K-line does not exist at all. What we need to know is not the form, but the principle. The principle is the essence, and the form is the appearance;