Whales keep getting richer and richer while everybody else is losing...

[posi]

Don't react to the sudden price changes will be the best possible solution to save ourselves from the whales manipulation.Whales are also taking risk but they got what they wanted from the traders by immediate reaction on buying or selling.

If you read what the OP said, you'll understand that this was not about reacting to the new sudden change in price of the crypto market but getting people informed about the right procedure in other not to be the whales prey.
With that been said, the current change won't save us from the whales for knowledge and simultaneous research is what we need.

[suzanne5223]

Not everybody can lose but maybe the small traders.

Like you said is not everybody that make lost and that include small traders you mention if the traders have what it takes to survive in the market. Besides, the OP have giving people the right advise about not "My advice, only buy BTC on spot exchanges and never on margin or with leverage. Because if we get a new ATH somewhere in the future you will be left with no BTC to reap the benefits"

Not just due to margin trading, whales are getting richer and the rest are losing; it is happening in spot markets too. Probably, it is due to the reason of bitcoin mining allowed early adopters to be whales. They got enough bitcoins to trigger movements on their preferred way. We cannot blame only whales; exchanges are also doing the same as they are also part of bitcoin whales.

You're right but they make huge money through the margin system, it not all early bitcoin miners are it and exchange site can't be blame for doing what's best for their business but inexperienced traders and investors are to be blamed.

[adaseb]

I think whales also makes two-way orders. where they make two opposite orders with the same amount. They sacrifice orders with confirmed negative movements, and add orders that already look profitable. Speculation they are using large funds, 50% of losses will be quickly covered with profits up to x2-5.

Yes this is usually called spoofing. Basically you see a very large bid/ask and you automatically follow it, then shortly after the order is pulled and the trade is against you. This happens probably multiple times in a single day. It is so common that I just disregard it whenever I see it.

How does it work? Say price is $10000 and a whale wants to sell his large position at that price. He just puts a large bid at 9999 and his offer at $10000, and when it fills he just pulls the other order and usually price starts to crash because traders got trapped.

[SquallLeonhart]

Whales make the most profit because they are the ones that pumps the price, they know when they will be pumping the price so there is every possibility that they will be the ones making the most profit. But, for someone who is not a whale you can still make a profit. That's why you should always invest and hold for the long term. If you're the type that is always buying out of FOMO and not having strategies, you will hardly profit from it.

Still, as someone that invested and HODL'ed for the long term, the price can go up and the coins you have in your wallet will increase in price. If you're buying, buy an amount you can afford and then store it in your wallet and leave it for a long time.

this is usually called spoofing. << snip >> How does it work?

Just pump the prices up to nearest resistance level to create confident among traders like market in bullish mode. Then sell off at higher prices than your pumping prices. Whales can do anything and its vice versa is the most common manipulation to get cheaper prices to buy more.

[JessicaVL]

Noticed something interesting for the past week according to the Bitmex leadership board. For those of you who don't know Bitmex is the largest futures derivative exchange and has the most volume so most whales trade on their for good liquidity. For fun they have a leadership board located at,

https://www.bitmex.com/app/leaderboard

Looking at the board you can see anonymously who is in the top 25. There is also another website that analyzes this data which is located on Coinfarm,

https://coinfarm.online/rank/

And as far as you can see there are 25 spots there, about 9 are inactive traders, 1 trader had a small loss of -4.41 BTC (#7 rank) but the rest were all making amazing profits. Especially rank 2,3,9,16,25 which managed to earn at least > 100 BTC in the last 7 days alone.

Trading is zero sum, especially derivative trading and if you are a new trader you need to realise that before you over-leverage yourself and get liquidated you need to understand that there is some whale out there who might liquidate you and take your hard-earned BTC. So becareful out there.

My advice, only buy BTC on spot exchanges and never on margin or with leverage. Because if we get a new ATH somewhere in the future you will be left with no BTC to reap the benefits.

Wow! That's quite the spot - thanks for this. I think buying BTC on a marketplace like Vertex is also a good option, because one transaction doesn't impact the others. So even whale's can't influence prices on the marketplace.

[alan2here]

Sad fact whales are getting richer each day because they know what will be the market outcome because of their heavy manipulation on bitcoin markets and the small traders only relying on TAs not knowing that this is a game by whales and we need to ride on them inorder to gain more profit like them.

They control this market and can cause volatility at any time, so it's best to limit trading and find other ways to make a profit. I think whales will often manipulate when there is bad news and make investor sentiment more fearful. 2 years have passed and this market still has not changed much so in the future, the investment demand will be much less because no one is interested in the current market.

I have lost a lot of assets from this market and am always worried because I do not know how to make a profit and this year will still be the most difficult year for all investors in this market.

[bohr]

Whales are just playing the market, while the rest of other are just blatantly believing in hodling, and getting pretty rekt as a return. Whales have the if power to influence prices to their favour in addition to trading in all forms of market. Holding no longer pays, best bet is to follow the whales, anticipate their moves and make some profits for yourself.

It is true that the potential profits that a trader can get are many times higher than what a bitcoin holder will get, however you are forgetting that very few traders get any profits in the market, the safest and on average the most profitable path is to be a long term holder, I know that in times like these it may seem like the holders are not really doing that well but as long as you do not sell your coins those losses are not realized and as long as you are holding your bitcoin you have a chance to multiply your capital many times over in a short time.

[PuertoLibre]

Another side of trading zero-sum financial markets, the longer you hold your losing position, it becomes a liquidity provider for another trader. As it mentioned, the leverage is a double-edged sword which can make you rich if you can manage it with the correct mindset after mastering yourself as a professional trader. In the case of reaching wrong hands, the leverage becomes a poison, the melting speed of trading balance just increases in every volatile market days. Stay away from margin trading, if you have no idea what you are doing. For fun, using demo trading accounts is the best choice.

[Oceat]

Sad fact whales are getting richer each day because they know what will be the market outcome because of their heavy manipulation on bitcoin markets and the small traders only relying on TAs not knowing that this is a game by whales and we need to ride on them inorder to gain more profit like them.

They control this market and can cause volatility at any time, so it's best to limit trading and find other ways to make a profit. I think whales will often manipulate when there is bad news and make investor sentiment more fearful. 2 years have passed and this market still has not changed much so in the future, the investment demand will be much less because no one is interested in the current market.

I have lost a lot of assets from this market and am always worried because I do not know how to make a profit and this year will still be the most difficult year for all investors in this market.

It's okay to lose as long as you learn something in return and that's your investment—learning through the process. Don't just quit easily just because you lose a lot from the market it takes time before you even master the skills of trading. Don't stop believing and learning everyday because someday you will step the foot of being one of the whales. It takes constant practice and learning in order for you to achieve the trading strategy.

[Yamifoud]

It's okay to lose as long as you learn something in return and that's your investment—learning through the process. Don't just quit easily just because you lose a lot from the market it takes time before you even master the skills of trading. Don't stop believing and learning everyday because someday you will step the foot of being one of the whales. It takes constant practice and learning in order for you to achieve the trading strategy.

But some people never look that as an investment instead, they consider it a trap and then quit.

Whales are not quitters, they are risk takers and has smart thinking more than enough to manipulate beginners mind. If noobs will allow this one, they just consider themselves as prey to the whales and beaten up. That is why whales will getting richer and richer cause they know exactly what they are doing and never mind the risk they are facing.

[Karmakid]

In my opinion, the reason why the whales are getting richer and richer while other people are losing is the skills that the whales have. The normal trader or an investor in this market is emotional so when the market drops, they all panic and it results for the whales to get cheap prices wherein they will sell it on a higher price when the dumb money enters the market again.

[kro55]

Whales are in every market be it forex, equity or crypto. They can easily manipulate the market and are always in profit. Being a small fish in the crypto sea, we have to chase these whales and look for our profits and safely quit. Don't try to fight or go against these whales, in my view it's totally useless.

[BChydro]

In my opinion, the reason why the whales are getting richer and richer while other people are losing is the skills that the whales have. The normal trader or an investor in this market is emotional so when the market drops, they all panic and it results for the whales to get cheap prices wherein they will sell it on a higher price when the dumb money enters the market again.

The whales are humans and not robots to not have emotions, if you follow the basics you will not end up at a loss no matter how the market goes, just sticking to the basics is the best policy, buy when the market goes down and patience is the key factor and if you invested when the market went down then there is no point in panicking and plan to sell when the market goes high according to your choice.

[ethereumhunter]

In my opinion, the reason why the whales are getting richer and richer while other people are losing is the skills that the whales have. The normal trader or an investor in this market is emotional so when the market drops, they all panic and it results for the whales to get cheap prices wherein they will sell it on a higher price when the dumb money enters the market again.

The skills are the factor that makes the difference between the whales and the traders. Many traders can't rely on their skills and following the signal from some group because they thought that the group is full of whales. But that is not true because the real whales will not say to other people that they have big funds and ready to moves the market. Besides that, the whales will use every chance that is happening in the market so they can influence many traders to follow what they did.

[justdimin]

Rich people just toy with us in the face of reality and they do not just manipulate the markets but somehow manipulate the feelings of people the emotions as well. Like they sell a ton of bitcoin and suddenly everyone starts to think that bitcoin is dying and it is on a bear run and we all stop buying bitcoin, they return and keep buying bitcoins so it goes up and they hype it up and we are suddenly all thinking it is going to all time high prices.

There is really no middleground because those people have enough money and influence and power to not just change the price of bitcoin but the emotions of all traders as well. Hopefully the "decentralized" nature of bitcoin will soon show its true power with all the trading and all and make bitcoin adopted big enough that it is not only a "way of making money" but just "money".

[iram3130]

Thats how whales became whales at first place. I dont think there is any other global market where manipulation is higher than of crypto, it impacts very negatively when someone tries to implement real life application for crypto when manipulation is this high.

[Apened]

Of course whales are whales and they will only eat the small traders in the market. They have their own ways to trade and can trade alone. With any small market movement they can make money and bitmex i think is number 1 for the most manipulated market as far as i know. However few traders can also make money if they will use big funds with a very low risk or leverage to survive especially for long term trade cycles.

[beerlover]

I think whales do not have THAT much control over bitcoin as we might imagine. We want to believe that bitcoin is dropping and increasing all due to whales because some of us here think that just as we buy the price falls and just as we sell the price goes up so that we are always at the wrong end of bitcoin (I always earn and spend instead of buy and sell but I do have those feelings sometimes too).

However, reality is that fiat currency and fiat economy all tied to politicians who get bribes from the companies so the rules of fiat economy is basically written by the whales whereas in bitcoin it is decentralized, if we didn't allow whales to run free here, they wouldn't be able to do anything however we do allow them to do whatever they want so mostly it ends up hurting us.

[yangongear]

Noticed something interesting for the past week according to the Bitmex leadership board. For those of you who don't know Bitmex is the largest futures derivative exchange and has the most volume so most whales trade on their for good liquidity. For fun they have a leadership board located at,

https://www.bitmex.com/app/leaderboard

Looking at the board you can see anonymously who is in the top 25. There is also another website that analyzes this data which is located on Coinfarm,

https://coinfarm.online/rank/

And as far as you can see there are 25 spots there, about 9 are inactive traders, 1 trader had a small loss of -4.41 BTC (#7 rank) but the rest were all making amazing profits. Especially rank 2,3,9,16,25 which managed to earn at least > 100 BTC in the last 7 days alone.

Trading is zero sum, especially derivative trading and if you are a new trader you need to realise that before you over-leverage yourself and get liquidated you need to understand that there is some whale out there who might liquidate you and take your hard-earned BTC. So becareful out there.

My advice, only buy BTC on spot exchanges and never on margin or with leverage. Because if we get a new ATH somewhere in the future you will be left with no BTC to reap the benefits.

My opinion is, in the bear market, making money from the market is very difficult if we only use spot exchange. Using margin trading or futures is a great way to make a profit in a downtrend market. It is not bad if you have the ability to manage capital and risks carefully.

[Danumsigwasan]

This is sad but true and something very much nothing to do about. All we can do is to be little bit wise with the way we go about things and our approach. I am always very careful and try to ensure that I work with proper plan to avoid such scenarios.