Have you ever seen a cryptocurrency price spike or plummet, and instantly become corrected?
BitBean chart used as example.
This is usually due to invalid input on an order or improper configuration of a bot. They buy at a much higher price then they would like, or sell at a much lower price. This will often happen when someone wants to sell for --for example-- .003 but instead inputs .0003, 10x lower than the intended price.
Capitalizing on a rare mistake that can happen on any cryptocurrency pair is difficult and requires a sharp eye, but there are some strategies that can help:
- Find an exchange with relatively low volume.
- If you are searching for high price targets, check what the price would be at 10x the value. (.0002 x 10 = .002). The inverse is true for a low buy in. Is the price .0002? Set a buy for .00002, and you can hope to catch someone else’s mistake.