Say if a big holder wants to accumulate more shares, say the options at 4c. He'll throw a huge sell order in at 4.1c. Traders will then want to get in front of him and sell at 4c. He buys them up.
There are other reasons/methods for capping, but that is generally the most common approach in my opinion
Say if a big holder wants to accumulate more shares, say the...
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