Large institutional players sometimes have the power to influence market sentiment and price movement in highly volatile assets like Bitcoin. By applying significant selling pressure or spreading negative sentiment, they can potentially push the price down by 10–20% approximately.

When the price drops sharply, retail investors often panic and begin selling their holdings out of fear of further losses. This panic selling increases downward momentum in the market.

After the price has fallen and weak hands have exited, large investment firms and institutional investors may step in to buy at lower levels. By accumulating Bitcoin at discounted prices, they position themselves for potential gains when the market stabilizes and recovers.

This cycle of volatility, panic, and accumulation is often observed in speculative markets where emotions play a major role in price movementNext target $BTC 46603