What are exit liquidity traps — and how to detect them before it is too late
Detecting crypto liquidity traps is important before it is too late, or your crypto investments will fall prey to market manipulation.
Exit liquidity traps occur when new investors unknowingly provide liquidity for insiders to cash out, leaving them with devalued assets.
FOMO drives impulsive trades, often leading to costly mistakes and becoming exit liquidity for early movers.
Beware of projects with exaggerated claims, low liquidity, anonymous teams or sudden price surges.
