So what's causing all the damage when Bitcoin drops?

What's causing the damage when Bitcoin drops?

Sometimes it doesn't matter if the ones tech is far more advance than Bitcoin, when Bitcoin drops it takes almost all crypto currency along with it. Even if humans try to hold as the bots across every exchange will buy and sell alt coins and Bitcoins making every cryptocurrency drops it's price. If you are asking if this can be prevented. The answer is simple, NO!

Bots and Exchanges

We all know that all exchange have bots that instant buys and sells. If you have some app that tracks prices of cryptos, you'll notice one thing. . . The price of assets differ from one exchange to another. Why? Exchanges uses this idea so that they can profit from buying and selling.

To make it more simple, let's say for example USDT/BTC to BTC/ETH to ETH/USDT. Bot's can instantly compute the price weather it can earn buying BTC first then selling it to ETH then going back to USDT. The best part of this we all know that in Centralize Exchanges, we can't earn except the price increase to more that 1% because of the fees. Imagine their bots trading without fees and can do this transactions in a matter of seconds. . . Even a 0.5% can give this exchanges some earnings. This what causes the drops in every exchange.

BEARISH WHALES AND CONSPIRACY WITH GOVERNMENTS

Whales also coordinates their sells to make Bitcoin's price drops? Because of the large volume of traders all across the globe, dropping the price of Bitcoin is somewhat impossible. Investors are taking risk believing that Bitcoin will someday increase it's price for more than it's current peak. So if the BEARS decided to coordinate a sell it will the result is simple. . . They will lose. To make this happen they need to condition the minds of the traders spreading FUDs for people to sell making the price drops fast. People with experience in this kind of trend knows that it's best to sell than to hold and even good people can do nothing but to sell in order to gain some of their losses.

But what if people doesn't buy the FUDs? If it doesn't work the best way is to attack the investors itself. China is one of the best players when making FUDs. Always remember the word BAN that's Chinese government gameplay when it comes to crypto market trading.

Government uses cryptos for money wire transactions we all know that. Some was even used to finance terrorist, this is where Bitcoin manage to gain big leap back in the days.

Once all this FUD is all over. China will open crypto trading again for it's people. The easiest way to earn is buy at a low price and sell it in huge huge price. Remember people believes that Bitcoin will reach $100,000 as long as the government sees it this way. There's no denying the fact that people will still buy Bitcoin at a higher price. I hope that people learn from this as I learned it in the hard way.

My experience with this kind of trend

https://steemit.com/bitshares/@docmastery/got-margin-called-today

My goal that was done for because of the Bears

https://steemit.com/bitshares/@docmastery/20-000-bitshares-moving-to-a-secured-apartment-and-buying-a-new-computer-to-run-a-bitshares-node

"As long as people believes, crypto will always move forward whatever happens."