Shiba Inu Token (SHIBUSD)

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How to protect your crypto from ‘rinse and repeat’ pt 2

How to protect your crypto from ‘rinse and repeat’
First, realize these kinds of scams have been around forever. Gold prices and thinly traded stocks have been plagued by this very same unscrupulous trading strategy even in recent decades. Whenever you have a thinly traded asset with very big players moving large sums of money in and out of the thinly traded asset, you will see very large movements in price.
Unfortunately, due to the decentralized and private nature of bitcoin and many other cryptocurrencies, it is essentially impossible to bring a ‘bad trader’ to justice. However, maybe we don’t need to bring them to justice after the fact. The best way to protect yourself from this kind of dishonest trading is to recognize it as it’s happening and maybe even take advantage of the deception by buying into the sharp downward correction.
As the market matures, this problem will solve itself
Over time, Whales will sell some of their holdings into the market. As the market matures and decentralizes, it will get harder and harder to execute a ‘rinse and repeat’ trade. It will become harder because as Whales make up a smaller and smaller percentage of top crypto owners, smaller cryptocurrency players will be able to ‘absorb’ and ‘mop up’ unusual downward spikes in cryptocurrency prices. Software, data, and AI will also contribute to this effort by making automated trading more and more accessible to the average investor.
As the cryptocurrency market matures, the ‘rinse and repeat’ problems will go away by themselves because Whales will start losing money when they try to execute these trades. Smaller market traders won’t get fooled into panic selling. Instead, they will lean into unusually aggressive selling and start buying up cryptocurrency at a discount. As soon as Whales start consistently losing money from rinse and repeat trades, this kind of dishonest trading will disappear with no help from regulators.
Don’t panic sell
Know WHY you’re selling before you sell. If you don’t know why the price of your cryptocurrency is tanking, don’t sell. Investigate, research, call people, sleep on it … whatever it takes. Don’t fall for a 200 year old scam.