$ADA Whales — traders with large volumes or institutions — interpret trading charts with a strategic perspective that is much deeper than that of retail traders. While most traders focus on typical indicators such as RSI, MACD, and moving averages, whales manipulate and anticipate market psychology.
1. Liquidity Mapping📌:
Whales study order books and identify zones where retail traders set stop losses and take profits. They trigger price movements towards these liquid pools to "hunt for stops" and fill their large orders without significant slippage. This tactic creates false breakouts or gaps that trap retail traders.
2. The Art of Volume and Price Action🏮:
They monitor unusual spikes in volume and divergences on lower timeframes. Unlike retail traders who follow the price, whales observe *how* the price reacts to volume at key levels. If the price rises on low volume, it is often a trap. If the price falls on high volume near support, it could be absorption before a reversal.