Bitcoin Forum

Market manipulation is rampant in the cryptocurrency market, this has been evident in recent times where the price of BTC which has the highest market dominance over other altcoins gets manipulated for selfish reasons especially by people who want to profiteer from the system and this is done by so called whales. They either force the price down to get weak hands to sell off cheap or pump the price to certain prices.

With the ETF application rejection of the Winklevoos twins yesterday, the main reason given for the rejection was market manipulation. They could not guarantee that the price of BTC wont be manipulated due to the unregulated nature of the market. What can be done to fix this? Should the SEC come in full swing and put some regulations in place? What will be the impact of this on the over market itself?

In a market that's free and large, it would be near-impossible to prevent market manipulation no matter how governments team up to stop it. There will always be exchanges that will allow these to happen in exchange of money, and the government wouldn't know that even if they probe and sniff around the exchange's operation as long as someone won't spill the beans. This is to be expected on ETFs: SEC would deny it because of the price volatility without further explanations, no fucks given and no reconsideration at all. I just hope that the next proposals in line would get through the SEC and spell victory for us all, but given the reason by which the SEC bases its decision, it might be too far-fetched to get one going within this year.

in a big market, manipulation is something you can never stop.

I have observed that big whales and institutional investors are not putting the required amount of money to manipulate the market but still, they are in a situation to manipulate the market every single time. The core reason behind this capability is the lack of mass awareness among the users and investors. The concrete solution to curb this issue is to build as much as an awareness that will help investors and users to deal with any kind of market situation without getting themselves under the pressure of fear of missing out.

Market manipulation never stop because whales or groups of peoples decide market will up or down, because they are profit taker also they create panic when they push market in downtrend than panic peoples or weak holders sell their cryptocurrencies in cheap price. ETF also rejected because of this reason and manipulation can't be control so crypto market is known for its volatility.

If everyone stop investing on short term, it could be harder to manipulate price. But, that's only in theory. There will be manipulations in practise. If you don't want it to affect you, than just stop caring for that, for panic sellers etc. If you can use it to earn, use it. If not, don't pay attention.

Market manipulation is inevitable in this free market, so they will pump and slap the market with nothing to ban them, yes we do need awareness for everyone, to trade properly, not harm most people, but it will be hard to be aware of this is indeed very beneficial to the greedy, small people will only reap the losses every false increase occurs.

You are right about this,but another question appears.If the bitcoin price is indeed manipulated,why there is bitcoin futures trading allowed by the CME and CBOE?There`s something wrong with that.
You are wrong about one thing.BTC price isn`t manipulated because of the unregulated nature of the market.
BTC is manipulated,because the market is small.

My suggestion is to base these Bitcoin ETF's on local regulated exchange prices and not on global prices. If you can properly

regulate an exchange like Gemini for instance and you do not use unregulated exchanges as a indicator for the price, then you

have won, half of the battle against manipulation. This is not really a good excuse for me.... I think they are just buying some

time to look for more excuses to deny these ETFs.  >:(

Regulations won't stop manipulation there's no fix to this problem. Whales will always find a way to manipulate the price and there's no limit on how much Bitcoin each person can have. dothebeats is right even if there are regulations these crypto exchanges will still allow it to happen because all these exchanges want is to make more money for themselves.

Stopping everyone from investing would take too much effort to do.

Nothing.
And nothing should be done.

If Bitcoin fails because of this manipulation it's obvious we need to think of something else.
Regulation and restrictions will just turn it into a centralized so it will be just another failure.


Reading their answer, probably you have to postpone this to the next century, not the next year.

You can interpret this in so many ways but I can also see one that reads "when hell freezes over"  between them.

This is really one great idea that can be explored by the SEC if they're serious about any form of regulations and not just looking for excuses to deny these ETF applications.

All you need to do is wait that their resources had dried up to the core that they will not sell bitcoin any more, This is so normal in the market if they really want to the price to go down they will sure do it, And we can not do something about it, Even if they regularized bitcoin it is not really illegal in some countries specifically not really illegal in the Crypto world and not only just apply to Cryptocurrency but to product, security, commodity and well known currency as well.

I dont think waiting until their resources dried up is an option because we dont know how much sums of wealth they have. Although manipulation was normal in every huge market, in cryptocurrencies market and mostly in altcoins there were no definite reasons to pump the coin while if bitcoin really has the potential to grow then manipulation wont work for longer term.

WRONG.
it would have been a market manipulation if price fell extremely low for example down back to the bottom at $6000 but instead what happened was a tiny drop  of about 4% and the reason for that was because the market is filled with newbie kids who don't know how things work. they saw the words "ETF" and "reject" and decided to press the big red panic button. and they paid for it with their losses.

No, you misunderstood what he was saying. The SEC said, one of the reasons why they do not want to approve the ETFs is because of the impact of mass manipulation of the Bitcoin price. They used that as an excuse for the first application that they received from the Winklevoss twins too.

So, we need to come up with a solution to "solve" global manipulation of commodities, to get them to approve ETFs. This is something that is a problem with other global commodities too, but they approved those ETFs. <Example : Gold>

The difference is, they control these markets and that is why it is approved.  >:( 

Only time will tell, but as far as my opinion goes, I think clearer guidance from the government and regulators will help the price to stabilize some. Bitcoin has always been volatile due to its intrinsic nature. The price really is in a frenzy, every statement that the financial regulators make will most likely cause a fluctuation in the market prices, at least that's what it seems.

The market is in decentralized space so it is hard to stop the manipulation, the best thing I know is that newbies should educate their self and learn from previous history of the market to lessen the panic sellers because manipulation won't work if there are no panic sellers.

As fraudulent as it may sounds, there's no way that market manipulation can really be stop specially in a market like crypto because its unregulated. We even doesn't have a name for this so called whales, we have heard so much about them, but not even a single or group of individuals have been identified. So the market is really susceptible to them, we can even considered those pump-and-dump groups as manipulators, so don't have the market, but hate how those people play the games.

its not actually big whales.. its lack of liquidity/volume and also large spreads. (see bitstamp image example i grabbed while writing this)

markets can stop having orderlines that are like
$8203.43
$8202.18
and instead have
$8203.4302
$8203.4301
then the price of btc wont rise by $1 by small fish that have an order line of under 1btc per orderline
as you can s below. somone can move the price by $1 for less than $1300.. meaning the 'cap' moves by $17million for only $1.3thousand
https://i.imgur.com/6mLPHVp.png

It is impossible to make the market more stable until the regulations will be applied. Also remember, that financial instruments are used for the speculations

Unfortunately there's nothing anyone can do regarding this market manipulation, even forex gets manipulated sometimes!
Some persons sees market manipulation as a way of running their business and they are making good money from it.

It’s not possible to stop market manipulation but if anyone can aware about this and have proper analysis skill they go away from this.

MArket manipulation is a lame excuse in BTC ETF approval but for one reason that is govt cannot regulate BTC market as they do in fiat money. Market manipulation cannot be fully stopped or controlled. If anyone says it is, it cannot be done in earth's market situation. But it can be reduced by long-term investment from general people.

I think that it is impossible to avoid manipulation but what to do if you can't deal with it on your own. it is impossible to change anything without having authority and I think that you should avoid negative emotions

Well, that fact can't be denied though. Whale manipulation affects the market so much and I think that's why many people fear to enter into crypto. Anyways I think as people adopt the blockchain technology and join crypto, get some BTC the market manipulation will be gradually reducing.

I don't think , there's any known measure in place that can help in curbing market manipulation.
The decentralized structure of cryptocurrency is not even helping matters.
We might as well leave our fate  in the hands to the big players in the market.

We can't do anything about this. The market is free with no one regulating it. We can't stop the manipulation even the government can't since they have no control of it. The denial i think was expected because of the price volatility.

From my point of view if  everyone stop invest on small period it could be difficult to manipulate price. But that's only in theory. There will be huge manipulations in carry out. If you reaaly want that it will not affect you than sto caring for that for panic sellers etc.

Face it.  The whales are going to end up getting your money each day that you are still dumber than them.  I'd say the best thing you can do is just prepare yourself to get fucked for a long time.  This should help...

https://img.tesco.com/Groceries/pi/627/0000042182627/IDShot_540x540.jpg

manipulation is always, but the question is in the other way how to detect them or to warn that even it would be possible to get some profit on it)))

The SECs are indispensable to traders in the crypto market because today the market is dominated by greedy whales who can control price movements as they please. Although profit and loss is a natural thing when we trade in the market the profit is only enjoyed by the big capital holders while the traders with small capital mostly always get a loss compared to profit. That is the reason why the SEC should be applied in the crypto market so that the movement of the crypto price can be controlled and the volatility becomes more stable.

Because people are prone to manipulation, the market will always be managed by someone.

is it too late now? the rate is probably about 70%. because when the first bitcoin first appeared, not worth it, became a joke by some people, the whales actually bought a lot. and I'm sure the number of whales is also a lot and they communicate with each other to be able to drive the price. by selling all the assets, or buying them again. by new investors, who are trying to invest and make the crypto market more stable, they are still outnumbered by big whales.

There is no black market or manipulating of the price. The price of the BTC is proportional to the demand and the supply of it by the people and only that influences the price.

There are few options to curb it unless all trading exchanges decide to co-operate and remove price manipulation trades. This would reduce their income so it is unlikely to ever happen

In a large market the possibility of stopping manipulation in it will be difficult as the larger the market, the more people will want to manipulate the market price in their own way. that's just my opinion.

If you ask me don't try to get away from it just learn to surf along with and start making money from the manipulations as well.Or just buy the bitcoins and hold it until you reach your desired price to sell then you won't get reacted to these prices changes in the market periodically.

i think the most effective way to counter the manipulation market created by the whales is by not getting affected by their play.
Just careful when there is a significant market movement, it can be a trap manipulation by them.

First of all you must have your oven strategy and don't look at the price every day.  you can look on it only if you want to invest in some new coin. But if you only want to know about the price you lose your time.

The key to surviving during market manipulations is to stay calm and don't panic buy or sell anything.  Keep to your game plan and believe in the projects you invest in or the whales will eat you up!