Today’s CHESS chart gave us a perfect example of how the market hunts liquidity on both sides — a move known as stop-hunting.

What is stop-hunting?

It’s a strategy where big players (market makers, whales, even exchanges):

  1. Push the price toward zones loaded with stop-loss orders

  2. Trigger those stops, forcing traders out of their positions

  3. Absorb the liquidity and return the price to normal — or reverse it completely

CHESS Example (June 9):

  1. Price spikes sharply to $0.080
    — lures long entries expecting a breakout
    — squeezes shorts

  2. Then quickly dumps to $0.0713
    — stops out longs with tight entries
    — invites fresh shorts that soon get trapped

  3. Price bounces back to $0.076
    — no retail trader wins — only the market maker

$CHESS

How to spot a stop-hunt?

  • Sudden wicks with high volume

  • Sharp move followed by quick reversal

  • Price returns to the previous level

  • MAs converging, RSI neutral → no reason for the spike

How to protect yourself?

  1. Avoid placing stops too close to obvious levels

  2. Watch volume and candle structure, not just price

  3. Wait for confirmation — don’t jump on the first breakout

Conclusion:

CHESS gave us a classic lesson today — how one candle can wipe out both longs and shorts.
If you were confused about what just happened, here’s the truth:
They were hunting your stop.


#StopHunt #MarketManipulation #CHESS #cryptotrading #WhaleMoves