The decline followed by a rise is called market washing‼️

The decline followed by another decline is called distribution‼️
In the financial market, the most common question whales love is:
Is this market washing, or is the owner selling off their holdings?
But the harsh reality is——
Often, it’s the whale’s own behavior that determines the market direction.
First, let’s look at what stock distribution is.
Stock distribution, fundamentally, is when the owner wants to sell the shares they hold in the market.
If given a choice, the owner would definitely prefer to distribute stocks at high levels.
Because the higher the position, the greater the profit.
But here’s the problem——
To distribute at high levels, digital currency prices cannot be allowed to spike suddenly.
A sharp increase requires costs.
The owner is not a charity; they won’t spend money to raise the price and secretly sell their holdings.
So you’ll see this phenomenon:
• Trading volume is not small
• The coin’s price rises very slowly
• Or even trades sideways for a long period
This is often not market washing, but a rotation happening at high levels.
Especially after sideways trading and a decline,
Most of the time, it’s not market washing, but a trend reversal after completing distribution.
Characteristics of distribution:
1. There will be short periods of fluctuation
A decline for a while, then stabilization, then another decline
These periods are not the owner absorbing the stock
But are zones for new buyers to absorb.
2. A gradual downward trend forms
It’s not a sharp drop along a straight line
But a stop-and-move pattern, with the center of gravity continuously shifting downward.
3. Decreasing volume with corrective dips
The decline in volume gradually increases
But every time the price bounces back, the volume is large
Many believe this is money entering,
But in reality, it’s often raising the price while selling—
It appears as if buyers are following in sequence,
But in fact, it’s raising the price and pulling liquidity at the same time,
To avoid a sharp drop and selling shares at very low prices.
When the trend truly changes,
The owner, in the final stages, becomes lazy about drawing patterns.
Second, what is market washing?
Market washing is not aimed at selling shares,
But to remove shares from the whale’s hands.
The main characteristic of market washing is——
The overall trend remains bullish.
Characteristics of market washing:
1. Wide fluctuation range
Sometimes it drops more sharply than distribution
But the rebound is very flexible
Because the goal of market washing is to create panic.
Force investors to sell, then raise the price again.
2. Rarely continues for a long time sideways
Because the owner keeps pressing—absorbing liquidity—then raising the price
If it continues to fluctuate sideways for a long time, the whale may become satisfied and rest.
3. Rarely breaks through levels genuinely
Medium- and long-term moving averages still trend upward
The trend structure has not been destroyed
4. Trading volume is more balanced
Even during market washing, volume shrinks
But sharp changes between large and small won’t happen suddenly
After market washing ends, the rise is more subdued.
Because the shares have already concentrated in the owner’s hands,
No need for crazy manipulations.
Third, the fundamental difference between market washing and distribution
Market washing is about accumulating shares.
Distribution is about disposing of shares.
One gathers.
The other disperses.
Different goals, and market behavior within them is definitely different.
Candlesticks can deceive you.
Trading volume is hard to fool.
The trend is even harder to deceive.
An upward trend is market washing.
A downward trend is distribution.
Fourth, what should whales do?
Many people love to predict the owner’s expectations.
But the problem is——
The accuracy of your predictions is less than 50% at best.
Also, the owner does not trade with every whale,
But trades with the majority of whales.
If many whales don’t push the shares,
the owner will use other methods to force you to buy.
Before the owner achieves their goal,
the market won’t start easily.
So, for whales:
Whether it’s market washing or distribution,
the best approach—— don’t participate during loss phases.
If market washing ends,
and the price surpasses previous levels with high trading volume,
that indicates the owner is aiming for higher levels.
And if the trend continues after the decline,
go with the trend.
Don’t fight strongly against the trend.
Don’t try to pick the top or bottom.
Don’t imagine you’re smarter than the owner.
In the crypto market,
the less you predict, the less you lose.
Learn to follow the trend,
it’s much more important than understanding the owner’s intentions.
@TermMaxFi