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I have this problem in freerolls too. When most of the players are THAT loose...you have to be tight. Bluffing against bad players (like Doyle Brunson said) is not a good idea.
Thats why you can lose a lot of chips trying to steal blinds and bluffing...because they WILL call you.
Once I was in the same situation (in a freeroll with almost 3000 people). After a bad start, I had a good run and improved from 500 chips to 76000 (6th place). Then, i started to receive only bad cards...tried to steal blinds, bluff...nothing.
I was elimined in 25th place around 20.000 chips.
The fact is that in these games, luck becomes more influent than skill. I mean, many terribe players manage once in a while to get good results in big freerolls. That doesnt mean they are skillful players.
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