What's a Whale Trap?
A sneaky tactic used by deep-pocketed investors (whales) to manipulate prices and trap small traders.
How it Works:
1. Artificial price surge (the bait)
2. Price collapse (the trap)
3. Whales cash out, profit secured
Why it Works:
Exploits FOMO (Fear of Missing Out), creating false signals of bullish momentum.
Spotting a Whale Trap:
1. Sudden, unexplained price spikes
2. Low liquidity
3. Suspicious trade volume
Protect Yourself:
1. Stay calm, do your own research (DYOR)
2. Focus on long-term fundamentals
3. Use stop losses, trade with risk management
Stay Ahead:
1. Educate yourself
2. Stay informed
3. Trade wisely
Avoid whale traps and keep your portfolio safe!
