I'm not convinced that it's only whales that can do these things. Smaller traders are perfectly capable to do the exact same thing and profit just as much. Buying when there is blood and selling whenever people are on cloud nine. Most people are too ruled by the pressure of others' decisions and their emotions to make the right decisions.
We must realize that big whales and small traders are not ignorant people, they certainly have the same potential and desire to achieve maximum profits. However, there's the most monotonous difference between them which's also an important point that we cannot just ignore. IMO, Big whales are usually more professional in addressing various conditions that occur in the market, so no wonder if their actions tend to produce results afterward. Meanwhile, small traders are usually easily shaken by negative media coverage or FUD, so there are not a few of them who in the end many have lost due to panic sales. But I'm very sure that here there are still many small traders who perform smartly, and can manage risk well so that they can avoid/minimize losses.
oh i totally agree. i'm a retail trader myself and i wouldn't bother if i were losing money. i just think retail traders are inherently easier to squeeze than eg trading firms because institutions can survive long term drawdowns as they pursue other markets with unallocated capital. that's how successful funds survive. regular folks are much more likely to get caught in the typical market psychology which ends with buying the top and selling the bottom.
They're both very fair points, having the financial means to spread yourself across multiple investments and to withstand periods of uncertainty is surely a big advantage. Couple that with experience of navigating tough situations and decision making is generally going to be better.
I guess another thing to consider is that people who know what they're doing won't stay as small fish for long, they'll eventually grow their own capital and be thrown in with the whales. Anyone who started before 2015 and knew what they were doing should be very well off by now.
