🔔
It looks like a big player is setting a trap, encouraging people to turn into exit liquidity. This drop was meant to happen, so what should we expect next? Let's dive into the details and find out how to navigate these red days. 🧵

A Massive Flash Crash
A significant flash crash occurred last night, pushing many altcoins to new lows. Overnight liquidations exceeded $1 billion, with over 90% of them being Longs.

Many believe this is happening against the backdrop of the S&P 500's decline and various geopolitical factors.

Understanding the Market Manipulation
Markets are like a big game, where major players can manipulate prices with minimal effort. News around the world often serves as tools for this manipulation. Recently, a surge of negative news has created panic in the market, which manipulators have exploited.
However, I believe the situation is more complex than simply targeting to smoke out paper hands on this drop. Opinions of an upcoming alt season began to circulate widely. I, too, believed we were nearing it when $BTC dropped to $58k a few months ago. But I was mistaken, which means the manipulators successfully deceived me, too.
The True Cause of the Flash Crash
Various analysts are increasingly entering the market, forcing the manipulator to consider the majority of opinions and develop a strategy to deceive them. After much brainstorming, I concluded the true cause of this powerful flash crash. With opinions about the alt season coming from all corners, people held onto their bags and were ready to buy every new dip. However, the market can't grow with too many passengers.
When the manipulator realizes that people "refuse to sell," they arrange a significant flash crash. Looking at the $ETH chart, this drop appears quite alarming. This drop is causing fear, and many are already selling their holdings. However, given the large number of experienced players, it's likely that many are also buying during this dip.
Potential Market Growth
Many people's bags have reached 70-80% losses, and many have already run out of stablecoins. Further growth for such people will be hoping to close all or most of their positions to break even to buy back lower in case of another strong dip. Thus, up 40-50%, the market will just go back to the average values of this spring.

Tips for Staying Strong and Resilient During Market Fluctuations
1. Stay Informed:
- Keep up with market news and updates to make informed decisions. Understanding the factors driving market movements can help you navigate volatility more effectively. Stay updated with reliable sources and market analyses to anticipate changes.
2. Emotional Discipline:
- Avoid panic selling by sticking to your long-term strategy. Market downturns are often temporary, and maintaining a disciplined approach can help you stay on course. Emotional control is key to surviving and thriving in volatile markets.
3. Community Engagement:
- Join discussions with fellow investors to share insights and stay motivated. Engaging with the community can provide valuable support and help you stay resilient during challenging times. Learning from others' experiences and strategies can offer new perspectives and bolster your confidence.
4. Diversify Investments:
- Spread investments across different asset classes to minimize risk and reduce the impact of market volatility on your portfolio. Diversification helps in balancing losses with gains from other assets, making your portfolio more resilient.
5. Buy the Dip:
- Identify fundamentally strong cryptocurrencies and buy at lower prices. This strategy allows you to accumulate assets at a discount, positioning yourself for potential gains when the market recovers. Buying the dip requires patience and a keen eye for market trends.
6. Staggered Purchases:
- Use dollar-cost averaging to gradually build positions. This approach helps mitigate the impact of short-term price fluctuations and reduces the risk of making large investments at inopportune times. It’s a disciplined way to invest over time without worrying about market timing.
Conclusion
To put it simply: The market will grow, people will fear another drop, start selling at breakeven, and increase the share of stablecoins.
Let's stay strong and navigate this market together! 💪🌐
#MarketDownturn #CryptoStrategies2024 #StayResilient

🔔 Can't tell if $BTC is in correction or if the bull run is over?
You’re not alone; this is one of the hardest parts of crypto. Many factors are affecting the market, and I've spent 20+ hours analyzing the reasons for such a correction and when it might end. 🧵👇 #MarketDownturn

Analysis of What's Causing the Market Drop:
➮ Jump unwinding positions
- Main Reason: The brokerage firm Jump Trading is liquidating its portfolio.
- Impact: Approximately $400 million in ETH has been sold in the past 2 weeks from one wallet, adding significant sell pressure.

➮ Trump presidency odds decreasing
- Political Influence: The chances of Trump becoming president are decreasing.
- Investor Reaction: Some investors are selling off their assets, fearing less favorable policies from other candidates.

➮ Recession fears
- Economic Indicators: The U.S. and global economies are flashing warning signs.
- Investor Behavior: Risk assets like crypto are suffering as investors seek safer investments.

➮ Yen unwind
- Rate Hike: The Bank of Japan raised interest rates from 0% to 0.25% for the first time in years.
- Market Instability: Many investors had borrowed yen for free to finance investments. The rate hike has created broader instability in financial markets.

➮ Geopolitical tensions
- Middle East Conflict: Rising tensions and the ongoing war in Gaza add uncertainty.
- Risk Aversion: Investors are fleeing to safer assets, contributing to the crypto selloff.
➮ Stock market correction
- Economic Data: The U.S. report showed the addition of 114,000 jobs last month, below expectations, and an increase in the unemployment rate.
- Market Reaction: The stock market correction has impacted the crypto market as well.

➮ Gox distributions
- Payouts Begin: Mt. Gox is finally starting payouts after 10 years.
- Selling Pressure: Some former creditors are deciding to sell their received BTC, adding pressure to the market.

➮ Recent pump trapped fresh longs
- New Entrants: The recent pump gave hope for further growth to new market players.
- Liquidation: Their long positions have been liquidated, strengthening the downward momentum.

➮ Alts dispersion
- Market Dynamics: The explosive growth in the number of tokens requires strategic responses.
- Challenge: Such solutions are not yet available, causing market instability.

Strategies for Capitalizing on the Downturn:
1. Diversify Investments
- Spread investments across different asset classes to minimize risk and reduce the impact of market volatility on your portfolio.
2. Buy the Dip
- Identify fundamentally strong cryptocurrencies and buy at lower prices. This strategy allows you to accumulate assets at a discount, positioning yourself for potential gains when the market recovers.
3. Staggered Purchases
- Use dollar-cost averaging to gradually build positions. This approach helps mitigate the impact of short-term price fluctuations and reduces the risk of making large investments at inopportune times.
Tips for Staying Strong and Resilient During Market Fluctuations:
1. Stay Informed
- Keep up with market news and updates to make informed decisions. Understanding the factors driving market movements can help you navigate volatility more effectively.
2. Emotional Discipline
- Avoid panic selling by sticking to your long-term strategy. Market downturns are often temporary, and maintaining a disciplined approach can help you stay on course.
3. Community Engagement
- Join discussions with fellow investors to share insights and stay motivated. Engaging with the community can provide valuable support and help you stay resilient during challenging times.
Conclusion
To win the game, you have to stay in the game—it’s that simple. This 30% correction is normal and has happened in every bull run. The market is expected to start going back up by the end of August or early September.
Let’s stay strong and navigate this market together! 💪🌐
#MarketDownturn #CryptoStrategies2024

Before you go to the article, note from the author. I trade crypto and SOL meme coins in particular. I also know how to create SOL meme coins, and have created a few already. Follow me to share how I do it with no coding required. As soon as I get 1000 followers, I will start writing guides on how to create your own meme coins from scratch, with no coding, that if successful, you can later even list on Binance. All meme coins can get listed in Binance as soon as the requiements are met. Just look at PEPE and WIF. Exploding! But now, let's get back to the crypto trading strategies. I follow many of them when trading.
🚀 Top Crypto Trading Strategies for Success 🚀
Cryptocurrency trading can be incredibly profitable if approached with the right strategies. Here are some of the most effective techniques used by seasoned traders:
1. HODLing
HODL stands for "Hold On for Dear Life." This strategy involves buying a cryptocurrency and holding onto it for a long period, regardless of market volatility. It's based on the belief that the asset will increase in value over time.
2. Day Trading
Day trading involves buying and selling cryptocurrencies within the same day. This strategy requires close monitoring of the market and quick decision-making to take advantage of short-term price movements.
3. Swing Trading
Swing traders look to capitalize on the 'swings' in the market. They aim to make gains from short to medium-term movements, typically holding positions for several days to weeks.
4. Scalping
Scalping is a high-frequency trading strategy that focuses on making small profits from numerous trades throughout the day. Scalpers take advantage of small price gaps created by order flows or spreads.
5. Arbitrage
Arbitrage involves buying a cryptocurrency on one exchange where the price is low and selling it on another where the price is higher. This strategy exploits price discrepancies across different platforms.
6. Position Trading
Position trading is a long-term strategy where traders hold a position for several months to years. Unlike HODLing, position traders may use technical and fundamental analysis to decide when to enter and exit trades.
7. Technical Analysis (TA)
Technical analysis uses historical price data and volume to predict future price movements. Common tools include moving averages, relative strength index (RSI), and Bollinger Bands.
8. Fundamental Analysis (FA)
Fundamental analysis evaluates a cryptocurrency's intrinsic value by examining related economic, financial, and other qualitative and quantitative factors. This includes studying the team, technology, market demand, and overall project vision.
9. Trend Following
Trend following is about identifying and riding market trends. Traders enter a position when a trend is established and exit when the trend reverses. This can be done using various technical indicators like moving averages or trendlines.
10. Mean Reversion
Mean reversion is based on the idea that asset prices will revert to their historical mean or average price. Traders using this strategy look for cryptos that have deviated significantly from their average and bet on a return to normalcy.
11. News-Based Trading
News-based trading capitalizes on the market's reaction to news events. Positive news can lead to price spikes, while negative news can cause drops. Staying informed and reacting quickly is key.
12. ICO Investing
Investing in Initial Coin Offerings (ICOs) can be highly profitable if you pick the right projects early. However, this strategy involves significant risk and requires thorough research to identify legitimate opportunities.
13. Staking and Yield Farming
Staking involves holding certain cryptocurrencies to support the network's operations, earning rewards in return. Yield farming involves lending your crypto to others through decentralized finance (DeFi) platforms to earn interest and other rewards.
14. Automated Trading Bots
Automated trading bots can execute trades based on pre-set criteria, taking emotion out of the equation. They can be useful for implementing strategies like arbitrage, scalping, or trend following.
15. Dollar-Cost Averaging (DCA)
DCA involves investing a fixed amount of money in cryptocurrency at regular intervals, regardless of the price. This reduces the impact of volatility and avoids the risk of investing a lump sum at an unfavorable time.
Remember, no single strategy guarantees success. Diversifying your approach and continuously learning will help you navigate the dynamic crypto market effectively. Happy trading! 🚀💸
#CryptoTrading. #CryptoStrategies2024 #InvestSmartly
#buythedip #btc70k
$SOL $WIF $PEPE