#cryptonews
Distribution at High Levels (The Shake-Out Distribution)
This is the most common and the most misleading method of distribution.
• Mechanism:
• The big player raises the asset price to a target high level, after which they no longer raise it significantly.
• They will control the asset price in a relatively high range, oscillating (for example, oscillating between $1000 and $1200).
• During the oscillations, the big player constantly releases positive news or creates the appearance of active trading, attracting small investors to the belief that the asset price is simply 'gathering strength', preparing for the next breakout.
• At high points in the oscillation range, the big player will repeatedly sell assets in small batches; at low points, they will use small amounts of capital to 'buy' or raise the price to keep the price from dropping sharply, continuing the sell-off.
• Psychology of small investors: mistakenly believing that this is a precursor to 'sideways movement at high levels' or 'platform breakout', they enter the market en masse.
