Steemit Crypto Academy Season 3 Beginners' course – Homework for Week 1: Whales - The Driver Of Cryptocurrency Value for Professor @wahyunahrul by @aniksikder

in SteemitCryptoAcademy3 years ago


HOMEWORK BEGINNER'S COURSE WEEK 1 (Whales - The Driver Of Cryptocurrency Value)


INSTITUTION: STEEMIT CRYPTO ACADEMY
CRYPTO PROFESSOR: Wahyunahrul



INTRODUCTION


Hello Dear Professor sir @wahyunahrul, thank you for this great and educative lecture. I am happy to see this well structured system and today in this post I will share with you my homework Season 3 beginners' course Week 1 - Whales - The Driver Of Cryptocurrency Value. I arrive with week 1 of the beginners course. I hope the next one is a comfortable read for you and thanks to teacher @wahyunahrul for class.


QUESTIONS


1). Based on the understanding that you've gained from this class, explain why whales are so feared by small investors?

2). Will we be able to take advantages of the existence of the whale that is so feared?
3). Find an example of a whale's cycle on a cryptocurrency chart, and do a detailed analysis of the phases in the cryptocurrency chart (don't take the cryptocurrencies that are ranked in the top 10 as examples). (Screenshot Required)

4). If you are a “Whale”, what cryptocurrency would you choose to invest or trade (except those that are in the top 10), explain why you chose that cryptocurrency.

5). Do a kind of analysis as a whale with the phases that I explained earlier on the chart of your chosen cryptocurrency, show where you will start buying the cryptocurrency, and explain how you will take profit. (Screenshot Required)

  1. Conclusion.


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Here edited from Pixel

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Question 1- Based on the understanding that you've gained from this class, explain why whales are so feared by small investors?

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We can first start with the cryptocurrencies whale here. The whales here are cryptocurrencies who own huge sums of money and have saved a lot here. Those who have investors here are more powerful to make their dead crypto effective. Then crypto whales they increase the market price to make more profit in the market and attract more to those who invest so that they want to invest in Arabia. The small ones who have invested here are afraid to come here because of their high market price.


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Source


Crypto teams are investors or holders of a certain amount of cryptocurrencies. So here the whale can always control the price of the cryptocurrency and make it a respectable structure. So here the demand for cryptocurrency to increase the value follows the laws of the government due to which the demand is much higher and limited which is why they increase the price. Lastly, I would like to say that the investors who are here are in the market before they buy crypto but if they do not sell before they sell and take profit, it can disappoint the official price, because when the number of people sold is much higher than the buyer decreases.

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Question 2- Will we be able to take advantages of the existence of the whale that is so feared?

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I can take advantage of the existence of whales by following my advice on how whales are managed. The whale market is such that there is a significant increase in demand. The same provision also applies. This tremendous increase in demand and supply could be one reason why the crypto market is so volatile. A whale does not move long time so they cannot survive well in the market. So investors should review whales and here the key to minimizing the loss of love is to sell and whales are keeping an eye on this issue. Knowing your risk tolerance can help you avoid investing in an amount that makes you afraid and panic to make quick and wrong investment decisions. Crypto whales If you decide to buy a huge amount of cryptocurrency by investing you as a small investor can now sell your frozen currency at a higher price in this situation.

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Question 3- Find an example of a whale's cycle on a cryptocurrency chart, and do a detailed analysis of the phases in the cryptocurrency chart (don't take the cryptocurrencies that are ranked in the top 10 as examples). (Screenshot Required)

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10.JPG
Source
Here are screenshot of top 10 ranked cryptocurrencies


I will now explain cryptocurrency


Accumulation


At this stage whales start to buy, sales volume is very low, which will soon lead to an increase in prices. So the coins you collect here are mainly for business and for profit. Then you realize that the price was close to a certain figure and the graph is similar to a horizontal increase. So at this stage the price of the currency is not stable for buying or selling and the price or value of crypto tends to be flat.


Uptrend


As prices begin to rise due to the low supply and high demand of the previous episode, the supply starts to rise at this stage and after a short time they will reach the next stage and will depend a lot on the resistance of each one. So this is the second stage where the only goal of the whale is to buy in huge quantities and to attract others to buy to create a significant trend in the market. Here the whales increased in price in a short time.


Distribution


Here the supply scrocket and whales start selling but of course he will not move to the market alone as many investors are still buying so the market continues to be stable. The reason this is due to the high volume is that demand will not be sufficient, which eventually leads to the last episode of the cycle and goes quite horizontally for a while while other small investors are also rushing to take part in the trend of not dropping.


Downtrend


The cycle is over, whales start buying again after selling a large portion of their crypto assets. Here everyone tends to lose assets by lowering the price, resulting in a recession. At this stage everything is reversed and prices fall again.

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Question 4- If you are a “Whale”, what cryptocurrency would you choose to invest or trade (except those that are in the top 10), explain why you chose that cryptocurrency.

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Source

If there were whales, of course I would choose to invest in cryptocurrency here and I would seriously consider going a little further. You have to invest in such a way that there is no risk even if it is a small profit. I would definitely choose to invest in TRX, as it is a cryptocurrency with little volatility so the profit will be less but there is a higher percentage of success. Because they can make improvements that will make the cryptocurrency more adaptable to changing market needs. It does not attract whales to invest in whales here because it cannot be affected by whales.

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Question 5- Do a kind of analysis as a whale with the phases that I explained earlier on the chart of your chosen cryptocurrency, show where you will start buying the cryptocurrency, and explain how you will take profit. (Screenshot Required)

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Using trading charts for links like the one above I will show you how to profit from channel link as a whale.

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Source


I will buy from my cryptocurrency acquisition phase to the end of the uptrend cycle. I marked that episode with the green line and indicated my buying and selling positions as the whale with the chart below. Now the mark is somehow stable on my own sketched graph I mark it with a yellow line. Which is when the value goes down here when small investors start to panic but I will start buying again and close the order there or start another sale to take advantage of the downtrend.

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CONCLUSION

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This is the end of my Homework post for session 3 week 1. Thank you so much Professor @wahyunahrul for giving us this knowledge. I believe that all newcomers like me can achieve a lot by trying this post. Whales can scare small investors to a certain extent, because everything in life needs to be strategic and adapt to constant change. Here I learned about whales and how their existence within the cryptocurrency ecosystem had an impact on the value of cryptocurrencies. So in order to win you must always be ready to take risks and take risks no matter how many problems you have. We have to have confidence here so that we can take advantage of their existence.

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Again thank you for reading my homework. Thank you all very much, specially Professor @wahyunahrul.



Regards:

@wahyunahrul

@steemitblog


Written by

@aniksikder

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