Crypto sell wall watch

By looking at individual orders you can get a better sense of how active the market is. In all cases, you can see if the price is moving up or down by looking at the order book just as well as you can by looking at trends forming on charts.

Meanwhile, considering all this data together gives you even more ammo. The bottom line: You can use the order books to get a sense of where demand is for certain prices. People who have done in-depth analysis of support and resistance levels have likely loaded up the order books at certain points. Thus, using just the order books any trader can get a quick sense of what the price is likely headed or at least how much demand there is at a certain price.

It is not in a whale's best interest, for example, to allow a currency to climb in price above a particular level until they have accumulated as much of that currency as possible. For this reason, whales often engage in the creation of buy and sell walls in order to attempt to manipulate the price of a currency. What are Buy and Sell Walls? The concept of a buy wall or a sell wall is dependent upon the way that many cryptocurrency transactions are facilitated.

In many cases, transactions are made via an order book , whereby a buyer indicates a particular price at which he or she would like to buy a given number of units of the currency. This can be done as-is, which is to say at the price that the currency trades at for the time the transaction is initiated. A whale can come in and put a wall in place by initiating a large order. This effectively blocks the price from dropping.

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A whale or a group of whales is usually interested in popping a fake sell wall in situations where they want to purchase even more of the cryptocurrency. Fake walls will usually pop up suddenly in the order book and will look unnatural and steep, almost cliff-like.

Once his shopping spree is done, the whale will just remove his original sell orders, causing the wall to crash down and allowing the price to rise again. There is a lot of nuance to sell walls. If a whale were to try to pop one up forcefully, the wall would just end up being bought out by the market. What is a buy wall in crypto? Is a buy wall good? As for buy walls, they are similar to the sale ones, except the orders traders are making are intended for purchasing cryptocurrency.

These walls are usually a good sign, indicating that the market is overall bullish on a cryptocurrency and wants to purchase it more than they want to sell it. Buy walls put positive pressure on cryptocurrency price, making it go upwards over time.

With buy walls we also have the two abovementioned types: Real walls — result of a positive market sentiment which was caused by good news regarding the cryptocurrency in question or industry in general. Will also take a longer time to form and will have a curved, sloped shape with orders with different prices stacked on top of eachother.

Fake walls — buy walls can also be faked. Whales can also attempt to spoof the other members of the market by putting up large buy walls into the order book. It will also have a strong psychological effect on retail traders, giving them confidence that there is a strong buy interest in the currency. This will also lead them to rush into becoming a part of the demand for said currency. It should go without saying that these fake walls also signal a period of uncertainty for a cryptocurrency; any potential orders should be avoided during the time fake buy walls are up.

Some people bought the rumor and sold the news. But, this news was really big. Masternodes, rebranding, big partnerships. Such as: VECHAIN has had a lot of new partnerships, announcements, and generally great news to propel the crypto further, but has been held back by these sells walls constantly. Just recently buying pressure has been very high and the whales have been having trouble controlling it they way they would like. Take a look at roadmaps and see where different projects are at in development.

Are any projects getting seemingly great news without moving in price? What about REQ? We saw a couple of front page posts about REQ moving to main net, quality pictures from the UI, etc etc. REQ was fairly stagnant around 30 cents before slingshotting to 80 cents in nearly a day. Sell walls and price manipulation. This field is speculative so any news drives buying pressure. Unfortunately, the very wealthy have a say as well. Look for great projects and determine if they solve a need.

THEN take a look at the depth charts on the exchanges. In crypto anything goes, and you better believe the very wealthy have difficult to obtain knowledge. When you see these obvious sell walls, you want to investigate and try to identify any trends. Perhaps you can look at volume of a cryptocurrency.

A stagnant crypto with LOTS of volume is a huge indicator, sideways consolidation. Ripple did this for a few weeks, even months at certain stages. Trust me, they want profit more than you do. The wait is almost always worth it because price will rise very rapidly once selling pressure is completely abolished.