The first signal of whale activity is a sharp increase in the traded volume...

The first signal of whale activity is a sharp increase in the traded volume, typically volumes will spike as much as 10x the normally traded amounts as the whale rapidly floods the market with orders to push the price in a certain direction. Typically this begins by removing a "wall", a large amount of BTC placed as orders at a certain price, which seemingly resists price movement in a direction. The whale often owns the majority of these orders, and by cancelling them causes regular traders to observe that there is suddenly much less resistance to price movement in a certain direction, and this in conjuction with the whale rapidly filling those orders which were not his causes the price to rapidly jump or fall, which in turn triggers "panic buying/selling" on the part of traders watching the price movement and the removal of this wall, which compounds the rapid price movement and causes the market to enter a state of hysteria.

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The best example of this is on the night of January 20th and early morning January 21st. You can actually see these bars on Dogemonitor. Throughout the day session on january 20th, volumes were noticeably higher, slowly pushing prices upwards. Following this, the first massive price spike occured at 19:00, and BTC was continually pumped into the market to a price of 242 satoshis - this is the effect of the market hysteria caused by those initial large purchases knocking down "sell walls", while simultaneously publicizing the fact that a mysterious chinese investor has come to "pump" doge. Then, an orchestrated effort on their part quickly causes a massive panic selloff, whereupon a few large sell orders "juke" traders into panic selling as they fear the rapid rise will be followed by a rapid fall, and the whale grabs the panic sells as traders panic in a process known as a "shakeout" or "washing", or zhencang.

This allows the whale to recapitalize their investment at a lower price, essentially juking traders into selling their assets out of fear, while the whale knows full well when the dust is settled the price will be higher. With regard to the psychological game Wukong plays, he tells those in the IRC to "hold no matter what", serving two purposes - one, it makes sure he remains in control of the bounce back, namely that no one in the IRC "jumps the gun" and pushes prices up before he has a chance to start buying at the rock bottom, and two - those who do fall for his shakeout, despite his warning, are more inclined to trust him and not themselves, as they were just juked out of gains (without realizing it was Wukong who juked them in the first place).

Nevertheless, such a large investment ("pump") on their part is quite expensive, and to recoup and profit from their antics whales have a more insidious and profitable method of profit-generating manipulation than simply "pumping". Studying the chart over the history from January 20th to today, you will notice that within the overall down trend from the high, there are also periodic cycles downwards, where the price holds for some time, followed by upwards, where the price holds for some time. This is how the whale makes money.
The process consists of placing a "wall", a large amount of BTC discouraging traders from betting on price movement in that direction, and encouraging greedy traders to bet in the same direction as the wall - e.g. a sell wall at 165 encourages traders to sell at 164, to try and "undercut" the wall. The whale knows this, and happily will buy up all the sell orders coming in at 164, causing the market to "stall", essentially pausing any movement while the whale quietly accumulates doge. Occasionally a whale will allow prices to fall even further, should the selling ramp up, and then move the sell wall down, allowing the whale to continue racking up doge at cheaper and cheaper prices. Once the whale has accumulated a hefty position in doge, he removes the sell wall and simultaneous places large buy orders at prices higher than market, pushing the market up and inciting traders to quickly buy in, in anticipation of a pump. This causes a rapid escalation in prices, and further large buys placed by the whale allow him to influence the other traders to push the market to whatever price target the whale has in mind. At this point, the whale locks in the price by placing the remaining BTC he has as a "buy order" at a price slightly lower than market, encouraging the traders to place buy orders slightly above his wall.

The whale slowly sells the doge he bought earlier when prices were lower to this trickle of buyers, and can then continue to repeat this process by using walls to influence the market before rapidly changing the price, all the while extracting smaller traders' capital.
This process is akin to how wolves or predatory whales intentionally herd and then trap their prey, and is very much rooted in influencing the psychology of other traders, particularly by spreading disinformation and by taking advantage of the fact that crypto-traders have less experience with valuations based on fundamentals, and are more akin to rely on technical analysis, the information immediately presented before them on cryptsy, and rumors and hearsay in making their trading decisions. It also makes great use of herd mentality and the tendency of inexperienced traders to panic.

You may wonder what happens when two whales are present, and how whales are able to coordinate their efforts - I've found that this is done through the chart, and that before a major price movement, a whale will announce their intent to other whales that may be in the market through a high volume bar, much higher volume than those surrounding it, that will rapidly push the price in the intended direction and then bring it back down immediately, which appears on the chart as an "arrow", marked by high volume and a large extruding wick in the intended direction. Should another whale disagree, they will use the same process to signal in the opposite direction, or if they agree will re-signal the same arrow. I am murky on the details, but through this process they reach an agreement and will move the price in the intended direction once all the whales have finished their transactions at the current price. Whales realize it is to their benefit to work together, and so will swallow their pride and allow the market to move against them in the short-term in order to continue the highly profitable "milking" of smaller traders in the long-term.In addition to the usage of walls, I have observed a second, more extreme technique used to move the market when the strength of small traders is not enough, which Wukong refers to as "one hand to the other". The process, when intended to push the market up, has the whale place a sell order at a certain price, and simultaneously place a larger buy order at that price, rapidly causing the price to escalate to that price and consuming all sell orders in between, including the sell order placed by the whale. This causes an even more extreme movement of small traders than simply walling, as traders watching the price rapidly flock to the movement caused by the whale, causing an even more extreme price change.

Repeated usage of this technique can cause the price to soar or tumble very rapidly, and is possible because it constantly recycles the holdings of BTC and doge in the whale's portfolio. However, there is a limit set by those orders which have to be eaten in order to move the price, and this places a constraint on how far the whale can move the price with their singular portfolio - it is possible that a group of whales combining their portfolio values to move the market can cause stupendous movements, like the one on January 20th - 21st.It is important to remember that the "walls" that are placed can be seen by everyone, and since a whale does not want you to catch onto their activities, the walls are meant to trick you. I have observed that whales actually place very small, typically 1000-10000 doge orders, repeatedly very quickly through the use of automated "bots", programmed using the cryptsy and other exchanges API. The walls are a distraction to allow their true trades to go undetected, and smart shibes will make it a point to discount the information gleaned from analyzing the dealbook. It is much more informative to instead study the actual market order history, as these are the orders than have been placed and can't simply be removed by pressing a button - often times you will find that even though a large sell is in place, the market order history shows that BTC is flowing in to doge - meaning prices will rise shortly.

So what you're saying is: REDDcoin is going to pump like crazy

>before a major price movement, a whale will announce their intent to other whales that may be in the market through a high volume bar, much higher volume than those surrounding it, that will rapidly push the price in the intended direction and then bring it back down immediately, which appears on the chart as an "arrow", marked by high volume and a large extruding wick in the intended direction.

OH HOLY SHIT

TO THE MOON!!!1

How do whales find each other

Part of it is just being an experienced trader already, and part of it is knowing what you're looking for, e.g. if you see somebody put a 50 btc wall 5-10 satoshis away from the current price, but the daily volume is only 0.5 btc, there's a whale around.

Heres Telegram Pump and Dump group

Join t.me/poloxpump

Happy pumping :)

Is this the pasta from the January 2014 Dogecoin pump?
Well, it has to be, doge has never seen 200+ sats since then

I dunno I found it on google researching how to identify coins before they get pumped. Were you around crypto then and is this accurate?

>Were you around crypto then
Been in crypto since the days were people on /g/ would do sharpie in pooper for some btc, tried my first foray into trading with doge though, and didn't really got in with real money until this year
>and is this accurate?
More or less, you can't really know what happened back then unless you were the whales themselves
There were at least 3 big actors back then, the first one was some chink novice, wulong, that got eaten alive after pumping it first
I never saw the signaling parts as accurate, and even if they are I doubt most whales rely on that nowadays

There was this guy named Fontas in the btc-e trollbox in like 2013 that would do this shit except he would tell everyone exactly what he was going to do and announce when the pump was going to start, and announce when he was going to remove or add a wall. Everyone still bought every pump just to play hot potato.

Thanks for the info but that doesn't stop me from holding till this shit actually moons so hard I cum to death

The signaling isn't accurate, its more of a if you fuck up you lose so don't fuck up kinda thing, but a good trader can tell when the smart money is accumulating in simplistic markets like BTC and especially altcoins because there isn't much liquidity hiding trader's moves.

;)

anyone click on this link? Im a pussy

also how do the DCR charts look to you? I've been waiting on that shit all day but NEM took off instead

The market was fading sells since April 23rd, I dunno how concentrated ownership is but it looks like it's in the tail end of a pump and dump scheme, definitely would not get in for more than 0.01

Also the "meme triangle" means volatility is likely about to spike, but it doesnt tell you which direction. It sometimes goes down.

"Buy the fucking dip" is literally a zerohedge meme because usually a trader doesnt the opposite, i.e. don't try to catch falling knives, except during QE1-3 the federal reserve had your back, so when stocks dipped you got free money for buying and selling them back to the fed. There is no fed in crypto.

>tail end of a pump and dump scheme

really? I thought the tiny candles that are basically horizontal across the chart means the dude is keeping the coin there - wouldn't they just let it drop if the pump and dump was over?

also, the initial pump was like 40% high than the levels it's maintaining at now, doesn't he need to pump it higher than that to make profit?

Nope, only needs it to be higher than the average price of him buying in. There are always some residual bagholders, as well as really late entrants, that will stabilize the market after the whale has "dumped".

A good pump and dump ironically has no "pump", because the buyer bought all the supply up while it was cheap and then people realized there was none left and they organically push the price up, and no "dump", because the seller sold to people who were under the impression there was a severe shortage of the underlying good, so the market price stays roughly constant until way after the "pump'n'dumper" has left and everyone realizes there was never a shortage at all.

Also remember there are all these idiots trading the market just like you. Suppose the whale pushes the market up 15-20% right in front of Veeky Forums when he knows we're watching, how many on-the-fencers do you think suddenly jump in and take it the rest of the 20-40% increase? Then the whale quietly sells into that and only sells as much as there is buying activity, so as to stabilize the price. This works in the reverse too, if the buyer is trying to pick up coins cheaper he might sell his existing coins in a large amount very fast to try and cause a panic sale, which he happily buys into for cheaper and simultaneously locks in the profit from his original flash crash sale that started the panic.

knowledge bump