Say a group of rich investors got together and intending to buy huge amounts of bitcoin with the intention to one day crash the market. Say they told other investors of their plan deception and they bought into the idea. They done this for a while making the price of bitcoin soar. If they all collectively cashed in on their bitcoins and told people/ warned people and fooled them into doing the same via news articles, websites and other forms of mainstream exposure. Could they theoretically cause enough of a collapse to then buy the bitcoins back at a low price and wait for it to boom again makinf a huge profit or am I totally missing the point?
It is possible but there are two dangerous aspects of that operation, the first one is, how to cash out get profits but at the same time not crash the price while they are cashing out? And the second and most important what if some other bigger whales are doing the same? How do they avoid getting trapped in someone else move.