This is how they manipulate the market... #BTC $BTC
Why does the price go up if they buy OTC?
OTC (Over The Counter) purchases are outside the public market, without affecting the order book.
Institutions silently accumulate, without the price going up. This is intentional.
2. So why does it go up? Because they need a narrative to sell high.
Once they have accumulated enough, they need buyers to offload what they have.
And that's where retail comes in: you, me, everyone who sees green candles and gets excited.
For that to happen, they must pump the price in the visible market (exchanges).
Summary: They raise the price not because they are buying, but because they have already bought and now need to sell.
How do they do it? Through Wyckoff cycles.
Richard Wyckoff understood it 100 years ago, and it still works. Let's go through the phases:
1. Accumulation
It occurs in sideways range zones, generally after a strong drop.
The price moves "aimlessly" to avoid raising suspicion.
Institutions buy slowly, in the market and OTC.
How to identify it:
Long periods of lateral movement with constant lows.
False bearish breakouts (spring) that take out retail stop-losses.
2. Advance or “Mark-up”
After accumulating, they intentionally raise the price.
They use large candles, positive news, influencers, FOMO.
This is where retail enters.
3. Distribution
Institutions already have profits.
Now they slowly sell while the price continues to rise or lateralizes above.
They use trap moves to make it seem like it “will keep going up.”
How to identify it:
High volume without real advance.
Candles with long wicks (confusion).
Divergences between price and RSI.
4. Drop or “Mark-down”
Once they have offloaded enough, they let the price fall.
Sometimes they even short-sell to profit from the drop as well.
Retail gets trapped at the top.
5. Reaccumulation
If they want to continue the cycle, they start accumulating again.
Sometimes it looks like a “bullish flag,” but it is just a pause and more loading.