Why whales always liquidate retailers?
Let me explain, it is in the simple way and basic concept of buying and selling.
Buyer need to buy from someone. They can't buy without someone who is not willing to sell let me explain it in a simple way
For example there two vegetable sellers both are selling same vegetables but with different rate we named them 1 and 2
So 1 is selling potatoes 2 dollar pr kg and seller 2 is selling 70 cents pr kg and seller 2 need bulk orders. so seller 2 can't sell to a retail buyers because he need bulk orders so he waited for big buyers to come and buy in bulk and then big whales comes in and bought 10000 kg at the rate of 70 cent then again whales bought 500 kg at the rate of 2 dollar from seller 1 and price went up everyone will start to sell but now whales have 100500 kg potatoes price is not coming down and now whales need bulk of orders to sell their 100500 kg potatoes and retail traders started to buy it every retail trader is bullish and when price reach 4 dollar then big whale sell their 100500 kgs and booked their profit and then 90% retail traders are liquidated and 10% traders are holding their traders in loss this is the future trading
Spot traders still have same potatoes but there portfolio showing loss. One spot trader bought 50kg potatoes at 4 dollar it mean he invested 200 dollar and now he has 50kg potatoes and now price drop to 1 dollar and now his portfolio shows loss of 150 dollar. Spot traders don't worry about this loss it will recover soon you have 50kg potatoes and this number will be remain same always then why you are selling it n panic. Price will go up eventually and you must learn to dca