Your cart is currently empty!
February 19, 2025
The Dark Side of Cryptocurrencies: The Role of Trading Volume When Handling Market
Cryptomena, such as Bitcoins and Ethereum, have gained great popularity in recent years, while their prices are wildly fluctuating on the market sentiment. The crypto market has appeared. The market handling,
What is market handling?
Artificially affects the price of security, such as an asset to manipulate the market. This can be achieved by various means, including
Task of Trading Volume in Market Handling
Investing decisions. However, the growing group of research sucks that the volume of trading can also be used to identify potential market handling. As Follows:
1.
- Increased noise : For example
3.
Case Studies: Handling of the Crypto -market Market
Several High -Profile cases emphasized the role of trading volume in crypto -market handling:
* Coinbase
: In 2019, the investigation of the office of the attorney General in new The company was accused of manipulating the price of bitcoins and other cryptocurrency through large -volume shops.
* Binance : in 2020 it turned out that binance, one of the largest cryptocurrency exchanges in the world, used by a comprehensive system of handling the volume of trading to artificially inflate the prices of some assets. This includes the use of fake or manipulated market data to increase the price of certain coins.
Conclusion
The Relationship Between Trading and Market Handling is complex and multifaceted. While large volume trades can be used as a signal, The use of market trafficking volume emphasizes the need for volume for volume and transparency in the cryptom market.
Regulators, Investors and Merchants must cooperate to Reveal and Prevent Market Handling. This includes:
1.
- Increased transparency
: Investors should be encouraged to use several sources of information when deciding on investing.
3.