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RE: Market Update: OmiseGO (OMG/BTC) - Looking Overextended, Buyers Beware!
They say the charts are a reflection of human psychology, which is in agreeance with your first sentence, but note it is this psychology which impacts the probabilities.
They are less manipulated because there's less money circulating in crypto so that's also true, but manipulation still well and truly exists. Plenty of times massive sell walls have appeared to shake out weak holders.
Main thing to note with crypto is it is a directional market (wants to go up), same with shares. So eventually OMG's price will most likely reach a higher value regardless. But why buy high and hold through a downturn, when u can buy at support and then hold as it climbs? Depends if you're a trader or investor
Good points. Especially your point on the size of the crytpto market. Similar to the silver market, that's why (not so true lately) they could make a 'fat finger' trade and dump a million contracts (shorts) on the 'paper' market and the price would plummet. The reason I said not so true lately, is because the last two or three days when they did their raid the price of silver held. I think this might be the last hurrah for their game or at least I hope so. As for your statement 'psychology impacts the probabilities', now that I've given it some thought I believe your right on the money. Psychology will steer the thinking of the masses and translate into a mass entrance or exodus of the market. I guess that's why on the whole people buy when the price is high and sell when the price is low. There is a lag period of the mass hysteria to take hold before they make their decision to buy or sell and while they are making up their minds the price is hitting it's high or low point and about to reverse. Very good points. Your view point causes me to think more clearly. Thank you.