And again a bitmex move, what else is new!!! Shaking out shorts and longs in 5 minutes, taking all their money. If your a fund with like 50 mil you can do these moves once or twice a day (not everyday of course). Ones who have been following me for a longer period of time, know how many times i expressed my frustration about these moves. Problem is not the short term issue that people are loosing on a trade, the problem is long term. These people are draining money from this market, slowly but steady. IMO -1.01% this market has not been about the Blockchain tech, fundamentals, the future of crypto or whatever. No it's about these people playing games manipulating the shit out of this market. The people who are enabling them, are the traders who are over leveraging on Bitmex. Providing them the fuel for these schemes.
I know many people use a small amount of their capital and put a 25x 0.71% or 50x leverage on it, this means the position gets automatically sold or bought by the exchange if price goes 100 to 150 points against them. So if you wonder how the hell this is even possible, well you got your answer here. It's the leading exchange/broker (whatever) Bitmex that is controlling this market. It's just because the volumes are to low unfortunately that these people can keep playing there games. I had watched the price action closely a week ago before we broke the 6800 and i am quite sure it were the same people trying to push the price down again, but it was the first time in a long time those people lost, because buying volume was just to big for them. Just kept coming in that day. It's impossible to know this 100% for sure, but i have been watching it closely for so many times now and just keep seeing the same schemes over and over again.
What these guys are doing is not trading in the traditional sense, meaning the market fundamentals and TA are positive so we will move up (or down). Has absolutely nothing to do with that. In fact, they abuse that against us, like the consensus 2018 and similar things. There is nothing we can do about this, they will keep doing this until the end of time. Only thing that can stop them, is more volume getting in the market again (like around the ATH 1.68% ). Or the existing traders/investors of this market have to combine forces ( volume ). But that's almost mission impossible to organize that. Or (over) leveraged trading should be forbidden in this market. I have been watching their moves for months now, i have spotted so many of their patterns because they simply can't hide them. But they keep changing it to hide their footprints. So it's am never ending battle unfortunately
The same happens on the traditional markets, so it's nothing new, but in crypto it's just too easy, with too easy i mean that i could even teach my 10 year old nephew to do it if i would have the funds to let him. For the ones who still don't know what i mean or can't get an image of what i mean, the crypto market gave a name to this pattern/phenomenon, the Bart (Simpson) pattern. I rather call it the Bitmex pattern. The problem with even naming this pattern, means the market is aware of it, so it even becomes a fulfilling prophecy, making it very difficult to ever get rid of it.
For the ones who missed it, the educational post once again:
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Just minutes ago almost the same happened again, with the bitmex price being almost 60 points lower than others. But i saw a few exchanges not following the panic selling there, so it moved up almost as fast again.
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One positive fact to mention now, i might have read it wrong this time, or it was just a bigger shake out at Bitmex than other exchanges. I watched the price action afterwards as well and saw some real selling volume, in the order book AND market selling to push the price down. So 2 options here:
- Just normal market participants, one bearish the other bullish - these manipulators just lost another fight
It's very difficult to judge what's really going on, i just have my own theory about it since i started trading the crypto markets almost a year ago now. The ones who have been following me for a long time, know the calls i have made. I even made many calls, purely based on the price action i would. I would tell upfront for example, okay guys, i am going long now, even though TA tells me to go short i am going to ignore that and just follow my feeling on what i have been seeing. Think i have done this like 10 times maybe, if i am not mistaken, i was right 100% of the time. These were no big moves though, more like 150/400 point moves. You can simply read my history to see i am not full of shit :). Anyway, what i am trying to tell with this, there is clearly some manipulation going on, it's just very difficult to say how big it is. I looked back and found one example of what i mentioned above. I wish i could figure out there dirty games more often, i just don't have the time anymore i used to have :( (please ignore the grammar LOL)
Maybe we could put some signs up around Bitmex and other places "Please do not feed the whales"
dalmazio
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@botje11, I couldn't agree with you more. High-leverage trading is killing this market and making it a whales game. People think they're being clever leveraging 10x, 25x, 50x, but they're just slowly killing the goose that's laying those golden eggs.
I wish it were possible for non-whales to organize, combine forces (volume) and trade in a more sustainable way. Bitmex is becoming the worst thing for crypto.
mjagos
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@dalmazio, Wouldn't that result in organized pump / dump? I think we all need to get by the fact that we can loose all our money. This is the risk associated with trading crypto.
Ahmed_Ismaeel
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This is a bullish chart. However, the volume is decreasing which is a sign of weak rally. I expect the price drop any time since there is no stretch in volume. I guess that whales are selling off the alts to buy BTC, then they will sell off the BTC to by cheap alts.
DegenerateTrader69
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@Ahmed_Ismaeel, you should double check that volume. its increasing across the board
earnBTC4free-com
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@Ahmed_Ismaeel, is this a viable strategy for the "little fish" AKA non-whales?
Ahmed_Ismaeel
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@XLC, Swing trading is the best for small budget traders like me.
PaulDenton
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The main question is, when will the alt season start, i really doubt that they well drop another 80% ( they have most probably bottomed)?
ansonphong
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I've been having the same thoughts the last week, the market is moving in extremely bizzare ways due to leveraged trading and mass market manipulation via whales, telegram groups, etc.
Who buys at these levels (85+ RSI on multiple time scales) except day traders who are doing range trading, whales with the intention to short on small timeframes and retail investors out of fomo? It is a setup for extreme volitility, which is great for Bitmex, and bad for anybody who wants to actually use BTC as a viable form of value store, exchange or investment.
Rightfully so retail investors have lost a lot of trust in crypto, and at this point crypto has lost any moral high ground it used to have as a people's currency and is degenerating into a video game for day traders.
SrTocino
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@ansonphong, "crypto has lost any moral high ground it used to have as a people's currency and is degenerating into a video game for day traders", great comment