When I first entered the scene, I was the market's "cash machine." Seeing Bitcoin break through a key level, I rushed in without hesitation. As soon as I got on board, the price dropped back down, trapping me tightly. The most ridiculous part was that right after I cut my losses and exited, the price reversed and went up again, making me feel like the market was deliberately mocking me.
It wasn't until later that I realized this was a false breakout— a classic tactic used by big players to harvest retail investors.
**How do the big players play their tricks?**
Simply put, it's like this: the big players intentionally push the price above a resistance level, creating the illusion of a successful breakout, luring technical traders to follow and buy in. When retail investors rush in, the big players immediately dump their holdings, causing the price to plummet. This isn't a natural market movement; it's a premeditated manipulation based on technical signals.
A friend of mine who trades intraday saw Bitcoin break through a key level with a 1.5% increase in volume and thought, "The opportunity is here," so he decisively invested $200. But before he could celebrate, a large bearish candle swallowed all the gains, and he was forced to cut losses, losing $30. He was so confused at the time: "It clearly broke above, why did it still fall?"
**How to spot these tricks? Two simple and effective methods are enough**
After many painful lessons, I summarized two straightforward and blunt approaches that helped my friend completely turn the situation around.
**Method 1: Don't be fooled by a single candlestick**
Big players especially like to use one candlestick to create a false impression.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
10 Likes
Reward
10
5
Repost
Share
Comment
0/400
tx_pending_forever
· 17h ago
It's really amazing, the moment I cut the meat, I wanted to smash my phone
View OriginalReply0
JustHodlIt
· 12-27 09:36
I shook hands, this is a copy of me two years ago, and now I want to beat myself when I look at it.
View OriginalReply0
CantAffordPancake
· 12-27 09:30
To be honest, I'm very familiar with this routine. I've been liquidated countless times before. Now, when I see a volume breakout, I immediately go short.
View OriginalReply0
NotFinancialAdviser
· 12-27 09:28
Here comes the story of them trying to cut us again; I've seen this trick too many times.
View OriginalReply0
Ser_Liquidated
· 12-27 09:26
Wow, really. I've been trapped like that too. The moment I cut my losses, I really wanted to smash my phone.
When I first entered the scene, I was the market's "cash machine." Seeing Bitcoin break through a key level, I rushed in without hesitation. As soon as I got on board, the price dropped back down, trapping me tightly. The most ridiculous part was that right after I cut my losses and exited, the price reversed and went up again, making me feel like the market was deliberately mocking me.
It wasn't until later that I realized this was a false breakout— a classic tactic used by big players to harvest retail investors.
**How do the big players play their tricks?**
Simply put, it's like this: the big players intentionally push the price above a resistance level, creating the illusion of a successful breakout, luring technical traders to follow and buy in. When retail investors rush in, the big players immediately dump their holdings, causing the price to plummet. This isn't a natural market movement; it's a premeditated manipulation based on technical signals.
A friend of mine who trades intraday saw Bitcoin break through a key level with a 1.5% increase in volume and thought, "The opportunity is here," so he decisively invested $200. But before he could celebrate, a large bearish candle swallowed all the gains, and he was forced to cut losses, losing $30. He was so confused at the time: "It clearly broke above, why did it still fall?"
**How to spot these tricks? Two simple and effective methods are enough**
After many painful lessons, I summarized two straightforward and blunt approaches that helped my friend completely turn the situation around.
**Method 1: Don't be fooled by a single candlestick**
Big players especially like to use one candlestick to create a false impression.