The market does not move randomly.$ETH Strong impulsive moves are usually backed by large capital from institutional traders or “$BNB whales.”
A whale cannot open a huge position with a single click because such large volume would immediately cause a sharp price spike and unfavorable entry. Instead, they enter the market gradually and leave footprints on the chart.
Our goal as traders is to learn how to read these footprints.
Let’s break down one of the key behavior models of major market participants:
1️⃣ Accumulation (Position Building Phase)
Accumulation is the phase where smart money carefully builds positions after a significant drop or rise.
During this period, the market often moves sideways (range-bound). This sideways movement allows large players to enter without causing strong price reactions.
If the market was in an uptrend before the sideways phase, it is more likely to continue upward after accumulation.
If it was in a downtrend before the sideways phase, it is more likely to continue downward after distribution.
Understanding accumulation helps traders align themselves with institutional flow instead of trading against#StrategyBTCPurchase
