Traders Have the Power and Wall Street is Scared

The coronavirus pandemic has had a long-lasting and substantial impact on our lives. We may not know it yet, with the battle against the virus still very much ongoing, but the ramifications of the pandemic are huge.

How we eat, how we work and how we live have all changed. More people are ordering delivered food. More people are working from home, and more people are trading than ever before.

The combination of the COVID factor (lockdowns, security checks, market volatility, work from home etc), the rise in popularity of no fee stock trading apps like Robinhood, and global adoption in crypto, brought a whole new generation of traders to the markets.

Wall Street quickly learned the power this whole new generation of social media savvy traders have. The GameStop drama led by Reddit group WallStreetsBets and its 10 million users rocked hedge funds to the core because it showed what ordinary traders, when grouped together, can achieve.

And it wasn’t just the stock markets that the trader power was shown to be the powerful force that it is. The crypto markets, more unegulated and slightly more wild, wild west that the stock or forex markets, is where the real trader power lies.

It’s been a rollercoaster ride for cryptocurrencies over the last two years. Despite a recent bull run, many cryptocurrencies are some way from their early 2021 peaks. However, some cryptocurrencies have soared. Solana passed the 10,000% increase point earlier this week and other altcoins like DOGE have enjoyed considerable success.

The extreme volatility and movement in the crypto markets have made numerous millionaires overnight and a whole subculture has formed dedicated to profiting from trading, be it fairly or somewhat unfairly. Telegram has been instrumental in bringing traders together to shift the balance of power to the ordinary crypto trader.

On Telegram, you can find a plethora of crypto pump signals groups that help manipulate the market in the traders favour. A cryptocurrency pump is where the value of coins is artificially pumped by activating multiple buy orders. This causes a sharp rise in the coin price which then increases other traders interest and participation in trading the coin. The target then is to sell coins with the highest profit for the trader.

These crypto pump signals groups and groups of like-minded traders prevalent on mediums like Telegram and Reddit are showing the big financial institutions, who, by the way, are investing billions of dollars into cryptocurrencies as well, that trading and profiting from the financial markets – be they stock, forex, crypto or whatever, is no longer the preserve of big financial institutions. Anyone with a mobile phone and an internet connection can group together with others and take on the big boys at their own game.

Expect more muscle flexes from traders than ever before as time progresses and the normalization of crypto continues. Traders have the power, and Wall Street is scared.