PoliticsI am going to start with Politics. Politics can effect a nations Currency or Stock Market. For example, when Mosul was taken over by ISIS and all of the Gold in the Bank of Mosul was taken, and the Investment Opportunities went bleak, their Money became much less Valuable, even though after the fall of Sudam Hussein the British Government just printed the Country of Iraq new Notes. The opposite of that can be seen in 2 ways, and that situation can also be compared to the effect of a Cu-De-Ta on the Currency or Stocks. But the opposite would be Vietnam, who had a Civil War that America got way too involved in, and then at the end opened up their Markets and their Currency did well and Investment in Vietnam continues to be good. A Similar effect is Trump. The people with a lot of Money and Stocks and Companies on the Stock Market in America, all just got Tax Breaks, so they are willing to spend more, and take bigger risks, and they all trust Trump not to do them wrong because he came from the same Environment as them.
Then, an example of something similar but not exactly the same, is Brexit. When Brexit happened, everyone panicked. Stock Markets dropped in America, as well as Britain and Asia, and then the British Pound went down in value. That was not good for Britain, because anyone with savings, or anything, had money that was worth less than it was the day before on the Global Market. But that was good for everyone else, because you could buy British Pounds, and you would get more of them than usual for USD. So you could go on vacation in Britain and get things for Cheaper if you were starting with USD. Or, you could buy British Pounds and wait for them to go up in value.
So that is how Politics can effect the Economy. And it is the same for Cryptocurrencies. You can move back and forth within Markets, and there are situations that hurt and help coins from within and without.
Bulls and Bears
This is a lot more simple than people think before getting into it. Bulls strike upwards, with their Horns, so that represents someone who makes money buying Stock when they see that a Market is doing well and is likely to do better. That way they can make an investment, and it is likely to go up and they can sell soon after and make a profit.
Bears strike Downwards, with their Paws and Claws, that represents someone who makes money as the Market goes down. So when you are scared, because you spent $5 per Stock or per Coin, and now it is $4, and you want to get out before you lose any more money. The Bear will buy your Stock, or Coin, and will wait for it to go back up later. So he profits on the Fear of others, or on temporary situations like Brexit, etc. A Bear doesn’t look for a Stock that is doing good and will do better, a Bear looks for a Stock that has done good long term, and is not doing well at the moment, but is likely to bounce back.
Another example of “being Bullish” would be buying stocks in Companies like Apple, or Google, and just waiting for them to go up at some later time. Or investing in a Company like that early on and holding until it goes up.
And another example of a Bear Tactic, other than investing on the way down. When something is on the way down you are invested in, you can sell at the top of the drop, then invest in something else for a short period; and that may even go up while the other stock goes down. Then reinvest in the Stock you were holding before, with the higher amount of money you have from the Stock that either retained its value or went up.
Then that brings us to the Bear Whales, Buy Wall and Sell Walls of the Cryptocurrency World. A Bear Whale is someone who has maybe 50,000 or 100,000 Bitcoins, maybe more, and they decide they are going to drop 50% to 90% of that on the market, to kill the “Buy Wall”. A Buy Wall is all the people who have said “I will pay X price” but that price was below the last price that it was sold for on the Market.
So say I am selling my Coins, and I want $1 each, but you put a Buy Order up for $0.90 cents each, I might sell my Coins to you. But if there are 5,000 people trying to buy it, they may have Buy Orders at $0.99 cents, and $0.98 cents, so your $0.90 one may take a long time to get filled, or may never get filled if the coin goes to $5 each, and $10 each. But if someone comes on the Market, and drops enough Coins on everyone to get to $0.90 cents, and even $0.80 cents, and $0.50 cents. That scares the shit out of everyone, and they sell their Coins, which makes it worse, because now they are selling into the Buy Wall, and dropping the price even lower.
And the Bear Whale buys all your Coins at the bottom, so instead of 50,000 or 100,000. Now he has 200,000 or 1,000,000 Coins.
Just as an example. If the Bear Whale starts sales at $1, and you have a buy order for $0.95 cents, and he sells to everyone that wants Coins for $1, and he sells down to you at $0.95 cents, then sells down to $0.80 cents. You might sell your Coins to him at $0.80 cents out of Fear, and he may have sold that exact Coin to you for $0.95.
And if you were buying $500 worth at $0.95 cents, you might sell all of those to him at $0.80.
