Topic: How to read whale alerts? (Read 352 times)

Although the trading market works on news, it is not always true. Whales move money from wallets to exchanges sometimes just fool small investors, or they simply want to convert their investments.
So don't be too alarmed to see such deals.

It's simple to understand to me. Here is some example hope you will be helped and can understand from now.

1. Big amount of BTC transferred from External wallet to Any exchange means there is a possibility of dump because maybe the whale want to sell those BTC.
2. Big amount of BTC transferred from Exchange to Any external wallet means it's positive news for bitcoin. Because maybe the whale transfer the btc to private wallet for HOLDING.
3. Big amount of USDT transfer from unknown wallet to exchange means the whale want to buy btc. this also positive for bitcoin.
4. Big amount of assets transferred from unknown wallet to unknown wallet - It's normal to me.

They have the influence and that is easy for them to make sich fake volume just to catch greedy souls on their trap. Those who are chasing the whale's actions are those people who wanted to make money easily which I think that also be the reason cause them to fail and lose their money.
If we are just able to know their plans(which is not), I can't imagine myself how much I gain from following them but unfortunately, we don't and that was hopeless to keep chasing them.

The market is not fully influenced by the whales, we don't really care about warning the whales where they will create hype or other bad news, they only show big transactions and that's not necessarily done by them, just recap where they always take advantage of the opportunities that exist.
We still will not know the whale's plan, we are looking at the market with the current trend where the whales cannot do what they are, only the news of the FUD can spread.
Even I wouldn't be influenced by the pope even if I wanted to know their warning.

We think that hypes are made by whales, so keep the lookout on the market trend as that only be our basis. You can't hear them telling that, and I really sure that they don't want other people to know their plans. So, your only option OP is to monitor the market activities. But I believe you won't able to catch them. What you gonna do now and might others are also practicing this thing to choose coins that are potentially profitable and have a huge trading volume. Not just following the whales as that might catch you then, somehow.

Unless you want to be giving yourself unnecessary stress. There are many meaning to all of this and since you are not actually the one holding or making the transfer, you will continue guessing. As good as whale alert pages on twitter are, I have discover your expectation is not happening particularly when you are expecting a bull run due to some huge USDT being transferred or minted

And that's how manipulation works from the whales. They can easily fake their actions as if they're really about to sell but just moved it to that exchange for them to make something for the market to move it the way they like it such as pushing it down.

But it is true that it's very hard to tell what shall be next with those actions. In my experience, a few years ago they matter a lot. And everyone rides those FUD that when a whale transfers, the everyone sells but just as today when someone sends a huge amount to an exchange, everybody awaits for it to plunge to buy those sold bitcoins.

Such information will just make you rulled, I mean, this has happened to my trade a few years ago. Indeed, I always make whale alert from telegram group as a banchmark to buy and sell to my trade or let say it is always used as a reference for my overall strategy.

But, yeah it was wrong I'm often stuck making a decision. Moreover at that time I choose trading future that use high leverage in order to get high profit. However, I never get a profit from this strategy I just lossing my money day by day and I decided to leave the group and trade by technical analyst and fundamental analyst based on news.

And that decision has made me change and teaches me many lessons, especially I am always required to read information about crypto currency in various media such as cointelegraph, investing.com and several other media. This makes me develop and have a little broad knowledge and this is useful for me.

I feel like both sides could be writing in the short term but not in the long term. If you are talking about short term bitcoin could go down and it could go up, both of them are quite right and possible. However one thing is quite guaranteed, bitcoin will go up in the long term, can you tell me that in 10 years bitcoin will not be over 60k already?

I am 99.99% sure that in 10 years we are going to see bitcoin way more than what it is today and that is why I am not really caring about the short term falls, if I buy from this price, I know that I will be richer in the long run, it could be richer in a year, it could be richer in 5 years or maybe 10 years but it will definitely happen. This is why I feel like some people will get richer from this but if they are capable of waiting, if they do not wait and sell on the first drop they will just lose money when they could.

I think you partially are correct OP. There are what you called whales will do the opposite to gain of course. However not all, there's also do what they have posted. I remember one who also posted a screenshot of what he bought.

I see this alert as a liquidation and maybe some part of that BTC can be use for trading which I doubt since whales are not trading that much, they are just buying and holding for sometime and then they'll sell it, whales are not a day trader and leveraging might not be the option for them. 

I mostly got informed about the whales actions thru telegram, I just ignore those alert most of the time because I don't know what whales will do with that money so I'd rather not overthink because it can cause stress.

you think the price will go up ? but others think the price will fall down because a whale is trying to sell .
its hard to tell if who is correct because the price can move randomly but dont mind them but mind your own business because you know if whats good for you .
 it was your money not theirs .

There are some whale alerts that are posted sometimes in twitter and telegram some of those are legit and some are fraud. Knowing whale alerts would be helpfulnand profitable to traders. If you know the whale to stop and buy you may gain bigger profit if you know the flow of a specific altcoin. Just join telegram whalees group alert so that it may help you in your trading life.

Sometimes whale alerts usually occur when the movement is already there or when it has already passed, the best alert you can see from the whales is within the Exchange that you are operating, if you know how to read the volume you will get this type of information if you know how to find it When whales enter the Exchanges, some give clues, since they place many purchase orders and do it en masse, now it is more difficult to detect since many use some bots with artificial intelligence, but the volume is an indicator that cannot lie to you. This despite the fact that the volume in general is not consolidated.

The bitcoins transferred to Coinbase is because they should be preparing for this April 14, there is a lot of speculation about Bitcoin on Wall Street.The movement now of ETH is different, it is above Netflix and some other platforms, but I think that it is still too early to speculate about it due to the history and dependence of ETH on Bitcoin, Bitcoin really is the one that has life own.

When we see the alerts on twitter it can become a double-edged sword, because they can intuit that everyone is going to buy because the whales want to sell, this is a market strategy, many call this movement "manipulation" but I see this as a normal and strategic movement of whales, this is very new today, because social networks are used to provoke that type of emotions, that is what Richard Wyckoff talks about in his books.

You should have to join their group, that only be the way to know what they are doing and what their plan. But I don't see any reason why we should have to do that or else, we wanted to fall into their traps and lose our money. Have we liked it to happen? not for sure. So, I could suggest to you is to stop chasing them, they will never help you but instead, they only make you as prey and get your money from sending wrong trading signals.

In my opinion, whales moving their Bitcoin into exchanges is a bad sign, let alone moving large amounts of Bitcoin. It is very likely that the whales
will sell their Bitcoin, this is a warning for us to be careful if there are whales moving Bitcoin to exchanges. Since it is very rare for whales to send
Bitcoin to exchanges for trading, most whales choose to hold Bitcoin for the long term.

As for me, this is a common manipulation and you are unlikely to be 100% able to determine what this or that message was for. As you correctly noted, very often such messages are accompanied by back comments, and this is probably also part of the manipulation. The task is not to let you and me understand what exactly will happen, thereby confusing and making money on you and me. It is because of this that I began to believe with great caution in such statements and comments and I try to analyze the situation on the market more and draw my own conclusions.

How can you make up your mind with this small news? 500 bitcoin is not a big number and it can easily be wiped out in any big exchange. The current bitcoin volume on Binance is 175,594.455 so I consider this amount of bitcoin has no magnificent impact to the market. That is how my interpretation says as a experience trader.

Trading with news or fundamental analysis is good. But, it is important to understand the mechanic on how to implement the news into good information and then, you can correctly calculate the next move of the market. In order to do so, learning fundamental knowledge is necessary, such as Behavioral Economics, trading skills, Economy, etc

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Frankly, Im not a fan of "news trading" . Prefer making decision with candles, trends and volume. They are the most transparent thing you can see and understand what behind forces driving the market in insanely. The only man I follow is Elon Musk because I cant deny his large footprints whenever he makes a crypto-related tweet

I have been seeing these kinds of things for years now and I never really assumed anything. Until I got more interested in defi, in bitcoin you do not know what is going to happen because whales could be doing anything, but in defi there is a method and it works almost all the time. How? Well there are things called "waterfalls" and those are basically the movements of that coin, in defi you "lock" coins and that gives you some profits, whenever there is a whale that doesn't lock any of their money and just unlocks it, that usually means they are getting ready for something and they will usually sell.

I have a friend who checked that constantly, and whenever a whale unlocked he sold before they sold, so he ended up selling at higher price and when the whale sold he bought back from cheaper. That way he increased his 13 tokens into as much as 37 tokens, he lost some back and has 27 now, but that was still good increase.

If you are going to trade based on whale alerts then most likely your portfolio will reduce. Any whales would move funds for any reason. Moving a big amount of funds doesn't mean they will invest in specific coins. Who knows if the exchange themselves move the funds? Honestly, I have seen a few such as whales alerts but don't see any influence on the market based on it. You have to learn how you may take profits from the market. The most important thing in trading is experience, so grow your experience and research the market.

Thank you guys, I have a more clear idea now.
Anyways, I can't imagine a real whale transferring to an exchange 1000 BTC. I guess whales will always use OTC for moving funds to and from Exchanges.

The logic is simple (based on my own experience).

BULLISH ALERTS
If whales transferred any coin from either unknown wallet or exchanges onto wallet.
If whales transferred huge USDT to exchanges

BEARISH ALERTS
If whales transferred any coin from wallet to exchanges

Those were just my speculation and I don't really end up getting 100% right on my predictions yet it is definitely worth to note.

Just don't believe anything, even if some wallets were to start moving a lot of coins to another wallet/exchange. They just mostly notify you of big transactions, but that's it. A big transaction does not equate to a huge movement of the market, it's just like any other transaction out there. It isn't really something necessary when reading the market, I'd rather read the candles and see how I can short trade for a few hours. Imo, it'd probably be a lot better to just react to the market movement the instant it does something, you may be late, but not that much, compared to believing in a "whale alert" which could probably make you lose your entire portfolio.

I don't really rely on these signals on twitter or telegram. It is just scaring you to panic sell your holdings. If you have proper risk management, you won't be afraid of this. Don't go all in buying a particular crypto, leave some stablecoins so you can do dollar-cost-averaging when the price dumps. Those whale alerts won't help you to gain profit in trading. Learning technical and fundamental analysis is still better to learn if you want to be good at trading.

Your interpretation is wrong because for starters you have no way of knowing that it was a "whale" that transferred those coins to Coinbase. It may have been Coinbase itself that moved coins from one address to another address. Not to mention that most of the times what these shitty "alert" sites call "moved to Coinbase" is baseless claims, they just see a big transaction and that's all. It may not even be to an exchange, it may be from some random address to another random address.
They call it "whale" because they are desperate for followers.

Those are FUDs and trolls and some shitcoin advertisers that are desperate since their shitcoin bags have been losing value for the past 4 years.

You shouldn't waste your time because it is worthless information as I explained above.

The more whales move coins to exchanges, the more I consider this a sign of a coming bear market.  When price climbs the highest, the first will cash out and typically it's these guys who are long in and have the highest profit.  They are selling to the people coming late to the party and if less and less people coming in, price will decline.

Important unsaid rule in crypto trading - You dont read alert tweets, you ignore them.

Whales or "so-called" whales often post such tweets, but their intent in to generate panic in the market. Always remember that nobody on the internet does anything for free or for goodwill gestures, there is some motive behind it.

In crypto this is very specific because a market movement as to liquidation of assets from a "hidden" wallet means that market will crash so that people buy the currency - that is the mistake the people running this manipulation want you to commit, so they can sell their holding and profit from your loss.

In general if you ignore these type of tweets, you will be safe. Try to use the currency movement in the market to advantage, not the stuff posted on shill breeding grounds like twitter and reddit