In the cryptocurrency world, how do bankers control the market? (Applicable to cryptocurrency and stock market)
Bankers (large funds, main players) in the cryptocurrency world generally use a series of methods to control the market to achieve their expected profit targets, and generally go through four stages:
I. Fund-raising stage
1. Suppressing the position method: After the preliminary work is ready, some coins have fallen sharply after a long period of time, and the main players intervene to buy a small amount of chips to create panic and force retail investors to hand over their chips at a low price.
2. Horizontal position method: The price of the currency is hovering at a low level for a long time, and every opportunity of the market rebound is used to suppress it, causing the currency to fall faster, retail investors to panic sell, and the main players can gradually eat up the goods.
3. Pulling up the position method: This is suitable for new currencies that have been listed for a short time and have extremely dispersed chips. The main players start to raise the price of the currency at the bottom to attract the attention of retail investors, and wait until the price of the currency rises to a certain height to start shocking and absorbing chips.
2. Washing stage
1. Control the washing area: In order to get rid of the follow-up market, a rapid decline is usually created to make the holders feel scared and sell their chips in order to achieve the purpose of washing.
2. Oscillating washing: The purpose of washing is mainly achieved through long-term horizontal fluctuations to induce the followers to sell.
3. Pull-up stage
1. Rapid pull-up: After the main force has completed the accumulation of funds, when there are market rumors to boost, the main force will choose to quickly raise the price of the currency, so that retail investors will chase high and buy.
2. Slow climbing and pulling up: When the market is calm, the main force will choose to slowly climb and gradually push up the price of the currency to avoid excessively attracting the attention of retail investors.
4. Shipping stage
1. A faster pull-up occurs and the shareholders make profits in the short term: The currency price rises rapidly, many holders have obtained higher returns in the short term, and retail investors begin to take profits.
2. The currency price accelerates and fluctuates greatly: The currency price rises rapidly over a period of time and is accompanied by large fluctuations. The dealer will choose to distribute chips at a high level.
3. The main force sells when the market is unstable: when the market fluctuates greatly, the main force will take the opportunity to sell chips, and retail investors choose to exit due to uncertainty
