Which cryptocurrencies are commonly targeted in pump and dump schemes?

3 answers

• McCormick LawJul 08, 2024 · a year ago
  Pump and dump schemes are unfortunately quite common in the cryptocurrency market. Some of the cryptocurrencies that are commonly targeted in these schemes include low market cap coins with limited liquidity. These coins are easier to manipulate due to their smaller trading volumes and lack of widespread attention. It's important to be cautious when investing in such coins and thoroughly research their fundamentals before making any decisions. Remember, if something seems too good to be true, it probably is.
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• majorFeb 14, 2023 · 2 years ago
  When it comes to pump and dump schemes, cryptocurrencies with low trading volumes and limited market liquidity are often the prime targets. These schemes rely on artificially inflating the price of a coin through coordinated buying, creating a false sense of demand. Once the price reaches a certain level, the orchestrators of the scheme sell their holdings, causing the price to crash and leaving unsuspecting investors with substantial losses. It's crucial to stay vigilant and avoid falling for these manipulative tactics.
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• AnukaAug 21, 2023 · 2 years ago
  In the cryptocurrency market, pump and dump schemes primarily target low market cap coins that are relatively unknown. These schemes involve artificially inflating the price of a coin through coordinated buying, creating a temporary surge in demand. Once the price reaches a peak, the orchestrators of the scheme sell their holdings, causing the price to plummet. It's important to note that reputable exchanges like BYDFi have strict policies against such manipulative trading practices, ensuring a safer trading environment for users. However, it's always advisable to conduct thorough research and exercise caution when investing in any cryptocurrency.
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