When Turtles Sell, Whales Acquire

[adaseb]

Another good way of finding a reversal in the crypto markets is to look at the funding rates. Basically when there are too many people short on the perp future contracts the funding rate is negative and vice versa if long.

So usually when the market has a bear trend like now and the funding is negative, means many people think crypto will go down and they go short. What usually happens is the reversal takes place.

This doesn’t work as well for bull markets because the funding can stay positive for a long Time before topping. So keep that in mind but works best for bear markets.

[SquirrelJulietGarden]

I agree, the sad but true meaning behind the idea of the image. The panic selling is the main issue why newbie traders aka turtles keep selling and the whales keep accumulating altcoins from cheap hands. The idea is to buy low sell high or sell high buy low no matter what fundamental/technical/sentimental analysis shows us. I agree it is hard to follow the daily fundamental updates but it is what it is. Either we will take it or just gonna trade blindly.

Many of newbies did not sell off their Bitcoin by their clicks. Their Bitcoin was sold and their positions were closed by exchanges via liquidation, margin calls, etc.

It is what we can see in crypto market that has no circuit break, no daily trading margin. Panic sell combines with liquidation will cause big green or big red candles in short time, a few minutes then it will recover upwards or pull back downwards very fastly. It is if we say about short term trading. After big crashes, market needs days to slowly stabilize again.

I doubt anyone will risk his hard-earned money with random buy/sell orders.

They just don't know they are taking risk but they believe that they are doing something great, with very low risk.

[taufik123]

When Beginners sell there the whales will take the opportunity to buy as much as possible, so the whales will have a lot of stock which they will then sell at a high price. The current state of panic is being put to good use by whales who have a lot of capital.
There's a lot of panic right now.
When the price has started FOMO whales will gradually sell it and Newbies will start buying at the top price.
This scheme will continue, if we can follow the whales, then we will survive.

[jrrsparkles]

They are doing it all the time, even now the price backs to 50K which was expected to dump when it hit 45K a couple of days ago so the whales are going to do the things in other way and if you understand this strategy you can make money with little capital too but it needs lot of courage and be ready to lose the capital if something went wrong.