**Exit Liquidity in Crypto: How Whales Cash Out Using You** #liquidity101
Crypto rallies often hide a brutal truth: you’re the exit liquidity for whales. When a token pumps, early holders (whales, insiders, influencers) dump their bags at peak prices, leaving retail investors with worthless assets.
👉How It Works**
1. **Controlled Supply**: Whales hold 70–90% of tokens.
2. **Hype Phase**: Influencers and bots fuel FOMO.
3. **Dump Phase**: Whales sell, price crashes.
👉2024–2025 Examples**
:$TRUMP**: Peaked at $75, crashed to $16.
:$PNUT**: Lost 60% after whales exited.
:$BOME**: Dropped 70% post-launch.
👉How to Protect Yourself**
✅ **Check token distribution** (top wallets holding >50% = 🚩).
✅ **Track vesting schedules** (VC unlocks = incoming dump).
✅ **Avoid hype-driven tokens** with no utility.