Greeting BT Users,
As I am involved in the crypto world for the past 3-5 years and closely watching BTC when its price was around $400 - $700. When the BTC first pumped in 2017/2018 than it creates chaos in the whole world and more and more users are attracted because of the profit they see, but when the price suddenly down and BTC dumped to $5000 from $20k then a lot of new as well as experience users lost their money and also trust from Cryptocurrency.
Recently BTC again pumped and the price reached $60k and was predicted to touch the target of $100k but again the BTC price dumped around $35k - $38k. From all this pump and dumped I did not yet UNDERSTAND that why and how this happens and the difference is huge. BTC is considered the king of the crypto world and it causes the price Pump and Dumped of all the coins. Also Crypto market is untrustable as any person having a status/huge bank balance can easily manipulate the market as Elon Musk did.
Any expert can explain the reason behind those huge pump and dumped of BTC?
No one is an expert here but the pump/dump happens because people make money. In futures trading, you can earn via both way by opening "
Long" or "
Short".
Chaos happens because 95% of people have no idea why they invest in any cryptocurrency. They don't support the project but the hope that today they sleep and when they wake up in the morning, there will be some $$$ earnings on their balance. When they see a decline in price, they sell in order to avoid further loss but they don't think about the possible long-term profit from the investment.
To sum up, whales manipulate the price and make an enormous profit. They manipulate it to a point where people either start massive sell or massive buy. Then they turn the situation and profit while the highest percentage of people lose. In the ocean, fish don't eat whales, whales eat fish. Those, who follow the whale behind, may escape but those who are in front of it, have no chance.