What's happening? This is the question you don't want to shut up! Is the market diluting? the whales are playing with the sardines that struggle to survive in this crypto ocean. a lot of influence on the purchase of tokens which plummets further and further into the dark abyss of the ocean. Haven’t we already found solidity in analyzes created by influential people? Are we really in an ocean? or the cryptographic world no longer exists and we are just small fish in an aquarium manipulated by supposed 🐳.
Does anyone have a clear explanation they can share?
“Fear Of Missing Out” – also known as FOMO – is a term used to express the anxiety you may feel if you do not act quickly when making trading decisions. The idea behind this is that any delay in making a decision can cause you to miss a potential opportunity. Such a psychological effect can affect investors in any market, but especially in the cryptocurrency market. This is because due to its extremely high volatility, the crypto market, especially in relation to altcoins, tends to make millionaires overnight much more frequently than any other traditional market.
For example, you may act under FOMO when you see a coin you don't own increasing in value. This rise is enough to trigger panic in some, causing them to rush to buy any coin that appears to be rising in price. The fear of missing out on the next big win, the currency everyone wants, or being the trader left behind, can be a huge driving force in price swings.
While the emphasis on FOMO is most often placed on the fear of losing a profit-generating currency, the opposite can also be true.
A sudden drop, for example in Bitcoin, can be attributed to a variety of causes such as news of government regulations, stricter economic policies or hacking of a relevant platform. Such news could be enough to make many exaggerate the derogatory valuation of the asset. And as soon as the price starts to fall, speculators may want to sell so as not to miss the opportunity to guarantee a profit or even reduce a possible loss. It is the FOMO phenomenon occurring in the opposite direction to what is normally expected.
what is their meaning and importance in the market.
“Whale” is the name given to people and companies that have a lot of cryptocurrencies, such as institutional investors. Typically, whales control large amounts of digital assets, in the hundreds of millions. In other words, when they carry out some financial movement – such as selling many coins at once – they cause a lot of impact on the market.
These investors often use this “power” as a strategy to artificially raise or lower the prices of cryptocurrencies as a way to make a profit. One of them is the so-called “buy or sell walls”. How it works: whales place large amounts of bitcoin purchase orders. As a result, the price of the currency tends to increase abruptly. At this time, they take the opportunity to sell their cryptocurrencies during the rise and profit from the movement.
I will be bringing publications of this genre for those who are less knowledgeable, I hope this helps to clear up any doubts.
Who can help with tips? To help I will be grateful!