That's no whale, it's someone retarded in the community that has something against the coin. Wants to see you suffer.
Same nerd who flashed sell walls starting from 24K
No.
Its a simple strategy to create panic selling and make profit from the spread. Easy money taken away from weak hands.
Not true look at this,
OK, im not going to argue with you. If you dont get it, then you dont get it.
Great explanation at exactly whats going on with Cinni, from the LTC subreddit.
Source :
http://www.reddit.com/r/litecoin/comments/20sm0d/whale_price_manipulation_and_why_its_difficult_to/Wonder what just happened with LTC? It was meant to be going to the moon when Huobi opened LTC trading, and all seemed to be going fine, but the price collapsed suddenly with minutes to go.
It was a whale pump and dump, and this is how it works:-
Whale(s) look for good timing for a pump e.g. when there's a great story, like Huobi LTC trading coming online
The initial rise in price is natural and rational. The whales join in buying repeatedly in different amounts to keep what they are doing undercover. They begin to drive up the price unnaturally.
Eventually an accelerated rally starts ("the pump"). Everyone wants to get on the train. The whales have to do less and less. In the end they just make judicious purchases to keep the rally on track. Everyone is going to the moon - well, not quite everyone!
As the price rises accelerate, the whales start thinking about when's best to exit according to the risk/reward ratio. Then they decide.
Boom!!! Their accumulated stash of coins are dumped/sold all at once. A huge vertical redline appears on BitcoinWisdom.
Whale says: I am very happy. My overall buy orders where spread the length of the rally, weighted to earlier stages when prices were lower. But when I dumped my massive sell order benefited from matching against all of the top buy orders. I made a ton of money because my average buy price was much lower than my average sell price. Now, urm, there are no good buy orders remaining for anyone else to exit nicely with..!! soz guys!! Hmmm thinking about creating a bull trap rally now, maybe you can try profiting from that?
Joe Trader & noobs say: f--k f--k where hv my profits gone ;-) If they sell immediately they can save some profit, or maybe minimize their losses. This is when the panic selling starts - except it's not really panic selling, because once the whale has dumped, it really can trigger a long and horrifying sell off because of the shock to confidence. You really might be better off panic selling like everyone else....
The fix? There isn't really one once you're into a pure pump and dump situation (unless you're a whale who can perhaps dump on another whale) In the case of the pump related to anticipation of the start of LTC trading on Huobi, the original rises were justified because Huobi adoption is a major stride forwards for Litecoin. But the whales transformed it into a pump. If you got in early because you saw what would happen in relation to the Huobi, you are sitting pretty so long as you didn't "let your speculation run into an investment".
But if you jumped onto the pump, you were always risking getting burned. Once on a pump either you jump off too early and don't make the gains necessary to justify the risk of taking part in the first place, or you risk getting caught in the dump and lose big time. The bottom line is that the whales' capital gives them a huge advantage because they can sell with a single keystroke and only they know when they're going to do it.
This is a general problem with trying to ride altcoin pumps.
If you want something more sedate (relatively speaking!) you can try bitcoin trading. The greater liquidity means whales have less power and because bitcoin is further fowards in terms of adoption (e.g. you can actually buy things with it) price movements are more closely tied to news and trends that you can analyze and trade against. Perhaps not quite as fun as pump and dump - and I confess to deriving great enjoyment from the later stages of the Huobi LTC roller coaster myself - but certainly better than being a "pump rider" full time.
About me: I am a pro bitcoin trader and entrepreneur. I tweet on bitcoin and altcoin and will also shortly be releasing free trading technologies that were originally developed for use by my own crypto fund.
