Farcaster

💡Anatomy of a Dump and how to buy the Bottom.

1. Fear of bad news. Little Dump.

2. News gets scarier. Price Dumps further. Some liquidation points hit.

3. Liquidation leads to market selling, further selling pressure leads to more price Dumping. More price dump leads to more liquidations hit. This leads to liquidation cascade. Like a house on fire being fueled by gas, ethanol and gun powder.

4. Finally selling stops because no more liquidations to be hit as there's no more coins to sell in that range. Volume decreases.

5. You buy when price reaches 4th Stage.