How to deal with market whales in the crypto world?
"Whales" are large investors or huge companies that have huge amounts of digital currencies, which allows them to control prices easily by buying or selling in large quantities. So the question here is: How do you deal with this situation and ensure that you do not fall into the trap?
How to deal with market whales in the crypto world?
The first step is to follow whales and see their movements. There are tools available like Etherscan that allow you to see the transactions that happen on networks like Ethereum. When whales move, you will notice unusual activity like buying or selling large amounts of currency. When you follow this, you can determine if there is a big movement that will happen in prices.
2. Social media is a treasure trove of information.
Many whales post their thoughts or moves on platforms like Twitter. If you follow the accounts of major investors or influencers in this field, you will be able to understand their way of thinking and anticipate their moves.
3. Rely on smart analytics tools
There are many advanced tools that help you analyze the market, such as LunarCrush and Messari. These tools give you an idea of the coins that are of high interest and their performance in the market. Use them to make decisions based on real data.
4. Distribute your investments wisely.
One of the mistakes people make is putting all their money in one currency. Instead of doing this, spread your investments across more than one currency. If one currency goes down, the other currencies can compensate for the loss and reduce the risk.
5. Stay up to date
Any news can change the course of the market. News about the adoption of a certain currency, technical updates, or even new laws, all of these have an impact. Make sure to follow the news from reliable sources such as CoinDesk or CoinTelegraph.
6. Understand the market before you take the risk.
Not every whale move means you should follow them. Before you take any step, you should understand the market well and study your currencies carefully. Crypto is a very volatile market, and you can easily make big profits or lose them just as quickly.
Don't be afraid of whales, but respect their power. Understand their method and make your moves calculated based on your knowledge and analysis. Most importantly, invest only the amount you are willing to lose because this market is full of risks.
In the end, always make your decisions well thought out and don't rely on luck. Crypto is not a game, but a great opportunity if you know how to use it. This is of course just an analysis and opinion, not financial advice.