I never expected that January 1 would usher in the first brutal "bloodbath" of 2024, and the market was wailing! In this silent battle, the dealers still use the classic tactic of pump-and-dump, but many users may not know how to do it. This article will conduct a detailed analysis of the banker's harvesting process of retail investors, helping readers understand the strong banker characteristics of TRB and the tools to identify the banker's strategy.
First of all, we must clearly understand that TRB is a currency that strengthens market control! So how to identify this kind of strong banker currency? The best way is through on-chain data, because bookmakers will place a large number of coins on the chain rather than on exchanges. According to one data, about 95% of TRB is in the hands of bookmakers. Although there are 20 whale addresses holding it, we can think that the chips are highly concentrated.
Compared to Bitcoin’s 21 million supply, TRB’s total supply is only 1.95 million. Considering that Bitcoin can push to $40,000, TRB pushing to $1,000 is not too much. However, it is not enough to know that TRB is a powerful currency. We need to use three tools.
Before the explosion, if the price rises and the open interest also rises, it means that big funds are opening long positions. However, it is impossible to distinguish between bankers opening long positions and retail investors opening long positions. In this case, it is necessary to combine the LSUR indicator.
LSUR is a practical indicator. LSUR greater than 1 indicates that retail investors are long, and LSUR less than 1 indicates that retail investors are short.
During the washout process yesterday, the dealers used a series of techniques. First of all, observing the sentiment of retail investors, during the process of TRB's rise, LSUR rose simultaneously, which meant that retail investors were following the bullish trend, so they chose to wash the market at this time. Then the first classic scene occurred last night, TRB dropped sharply by 30% in a few minutes! After TRB plummeted, everyone thought it would rebound, and retail investors began obvious long-selling behavior, and the LSUR indicator showed a significant rise.
Then, the market maker triggered panic and media reports by causing a sharp decline, causing more investors to pay attention to TRB's price decline. This hype and publicity leads to more trading activity, providing bookmakers with opportunities to ship.
At this time, 250 dollars is a dividing point, because the large order data shows that after passing this position, the main force continues to place a lot of buy orders below the current price. Because it is necessary to attract market-making robots or some high-frequency robots, robots that rely on the OBI (order book imbalance) trading strategy help them actively buy to drive up prices, and constantly use large-amount buying orders to push the robots to buy at market prices, thereby pushing the market price upward. Walking is a classic method of operation.
At 23:00 last night, after the TRB market price returned to its original point, the price went sideways, positions fell, and LSUR fell. This means that everyone feels that TRB has reached its peak, and retail investors have begun to short. At this time, the consciousness of bankers and retail investors has changed significantly. Bankers are bullish and retail investors are bearish. The main force's crazy buying of large orders supported the price, and LSUR continued to fall.
The dealer completed the feat of pushing the price from $250 to $464 by placing a large order of $40 million! The dealer's control of the market is basically to suck, wash, pull, release and kill. Now the pull-up stage has ended and it has entered the delivery stage. After the price reached above 600, the dealer gave another 70% drop. This drop basically exceeded the expectations of 99% of people. It is not fundamental, but technical explanation.
The funding rate is an indicator of the contract market, with an upper and lower limit of plus or minus 2%. TRB’s funding rate was around -2% last night, which is a big temptation. A negative funding rate means that most people in the contract market are shorting TRB, causing the price of TRB to be lower than the spot price. However, general unilateral traders rarely pay attention to the funding rate, and usually only arbitrage traders pay attention to this indicator. Last night's TRB was a nightmare for arbitrageurs, and many people were wiped out.
Summarize
In short, TRB experienced a violent market fluctuation yesterday. Bankers used methods such as pumping up and washing the market to control the currency price, and attracted more trading activities by manipulating market sentiment and using funding rates. Now that TRB has completed the process of placing stocks and selling down, it is expected that there will be no new market in a short period of time. Even if there is a new market, it will still need to go through another wave of fund-raising and market washing.
