What does 'Pump and Dump' means in crypto trading ?

[crairezx20]

Simple, pumping means the price or value of the coin is increasing while dumping means the value of the coin is decreasing. That applies both, either long term or short term in trading. I think that's the simplest explanation so not to confuse newbies in trading.

Yeah this is a very good definition precise and easy to understand by any of the person. Especially for the new comers who are not used to with the crypto market terminologies. I appreciate you explaining it in such an simple way. More precisely I will say price up is pump and price down is dump.

Many terms about pump and dump but almost all answer here are the same or both are good meaning about the definition they give..
But i think its including the margin if they are talking about a pump and dump coins which is they are making their own margin to pump the price of coins or dump the price of coins..

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[MFahad]

Yes, it is right, dump mean drop and pump mean up and buying.
If anyone know about this meaning than it mean now we are ready to start trading in sense of making money.
But sometime we miss the chance to make money and than we are going into lose. But sometime we think that we will get profit but by chance coins take turn and dump and pump give us surprise.

[iqlimasyadiqa]

Yes, it is right, dump mean drop and pump mean up and buying.
If anyone know about this meaning than it mean now we are ready to start trading in sense of making money.
But sometime we miss the chance to make money and than we are going into lose. But sometime we think that we will get profit but by chance coins take turn and dump and pump give us surprise.

Pump and dump sometimes occur very quickly and beyond expectations. So that quick decision-making is a very important thing.
We must be able to decide without thinking, do analysis quickly and take all the risks that can be obtained.

[itsallpc]

Bitcoin pump and dumps work in a very simple yet straightforward manner. Pump and Dump schemes comprise of two groups of people. The first group is players who play by artificially increasing the price of the Bitcoin by endorsing or promoting it. This category of individuals spends their time finding cheap coins to purchase then wait for when they are ready for dumping and build a buzz about the coins. The process of finding and buying cheap coins can take as quick as minutes or as long as hours or even days.

[hovrah]

Bitcoin pump and dumps work in a very simple yet straightforward manner. Pump and Dump schemes comprise of two groups of people. The first group is players who play by artificially increasing the price of the Bitcoin by endorsing or promoting it. This category of individuals spends their time finding cheap coins to purchase then wait for when they are ready for dumping and build a buzz about the coins. The process of finding and buying cheap coins can take as quick as minutes or as long as hours or even days.

It seems to me that for today it is necessary to restore this process of finding coins or even commerce. It is necessary to wait for the moment when there is a fall or at all it is not clear what happens at the crypto-exchange exchanges. Although very tempting and is the fact that buying cheaper coins May in the future bring a very good profit. Perhaps you need to take advantage of such a moment.

[fullhdpixel]

In my own understanding and also according to what I have learned, pump and dump is what they meant for the price of each token in the market rise from the initial spot to the highest limit it would reach, while dumps or dumping is the opposite or below the initial price.

That's basic same as buy low and sell at high price , Pump is not only means a price to up but it have some like pump due to hype or it is pump because of a update or new launch that happens to a coin to have a hype price. Dump sometimes a coin dumps hard if a coin is like a scam coin which created and added in a exchanges for the creator of the coin to earn from us sadly but its true , every single word have many means that's why experience is a must.

That’s a nice explanation, peer. Though ‘pump and dump’ have different meanings under different circumstances but generally, pump is taken as rise in values and when the coin dumps, it means there is a fall in the price. For further explanation, read articles.

[melted349]

Bitcoin pump and dumps work in a very simple yet straightforward manner. Pump and Dump schemes comprise of two groups of people. The first group is players who play by artificially increasing the price of the Bitcoin by endorsing or promoting it. This category of individuals spends their time finding cheap coins to purchase then wait for when they are ready for dumping and build a buzz about the coins. The process of finding and buying cheap coins can take as quick as minutes or as long as hours or even days.

It seems to me that for today it is necessary to restore this process of finding coins or even commerce. It is necessary to wait for the moment when there is a fall or at all it is not clear what happens at the crypto-exchange exchanges. Although very tempting and is the fact that buying cheaper coins May in the future bring a very good profit. Perhaps you need to take advantage of such a moment.

And yet this is a good idea and strategy interms of trading. Cause thats how it works too and studying on how the coins pump and dump and stay calm for when they dump.

[Przemax]

Its hard to say about pump and dump in the btc trading. You can say so about some shitcoin trading tho.

Pump and dump is not a mechanism of up and down in price. Its a mechanism that describes the rapid changes in the price that results mainly in the lose in popularity in the endresult. That is not the case with bitcoin. Bitcoin changes in price, results in an increase in popularity, volume, and price, after a small, normal to market corrections in value of btc.

[finzyoj]

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

For me, PUMP is the increasing of price of coins which means most of the user/investor buy the coins so the supply will increase. At this time, if you want a profit, it is the time to sell the coins because price is high your coins from wallet has an opportunity to get a profit. This tine the greediness come.
The DUMP is the decreasing of price of coins, the dump is the panicking of people because they can't get a profit from their capital, most of this time the user sell their coins because they want to convert in local currency because bitcoin  can't use to buy/pay directly to other stores.

[Bagaji]

Pump is when the market value of the coin is high or has increase while dump is when the market value of the coins has drop significantly or has fall. A good investors will buy or invest in a coins when the market value has reduce and wait till when its value increase before selling it.

[Ewox]

Pump means the coins price or value is increasing while dump means it is decreasing, so basically if traders do short term or long term trading when the coin is pumping they set them to a sell order thus selling the coin to a higher value and if it is dumping they set them to the lowest buy order to buy coins at its lowest price.

[Ponylon]

it's when a group of traders, or a trader with a big stash, try to influence the market by first buying (increasing the price) and after more people have bought into it (by seeing the awesome gains), dump it shortly after (sell)

[naidray]

it's when a group of traders, or a trader with a big stash, try to influence the market by first buying (increasing the price) and after more people have bought into it (by seeing the awesome gains), dump it shortly after (sell)

Pumps and dumps are two important phases of any coin and are created by the investors. Investors are if selling off a particular coin on large scale, this is going to lead to the dump phase where the prices of the coin are going to drop badly and speedily. Pump is the most love time period in the life of a coin because here the coin is in the green area of the graph, making investors richer.

[2hot2handle]

Its easy to determine what is Pump and Dump mean in crypto trading.. Pump means the price of the coin is rising and Dump means that the price went down.

[entrepmind23]

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

Cryptocurrency trading is so volatile and decentralized that no regulations are applied to it that's why traders can do what they wanted. Pump and dump always happen in crypto trading because of the low volume of coins that those traders who hold large amount of coins can make the market move. Those traders that hold large volumes of coin are called whales and sometimes when they buy a coin, it would make the price shoot up which is a pump and they may continuously do this to attract other traders to buy also because the price is rising and they will create FOMO of it like releasing a news or updates that would make others buy the coin and then later on when it hit their target price, they would slowly sell their coins already in profit and in effect would make the price go down or being dump.

[pitiflin]

Pump means that some people will buy an altcoin unanimously and then ask other people to buy it as well,when others buy the people who bought in the first place will sell theirs ,in other words they will dump and they will get a profit and others will get a loss,most of the time. Some people create groups on social media and try to attract people by saying that they will also get a good return on investment but at the end of the day all you will have with you is a empty wallet after getting a huge loss. For heaven sake don't listen to such people, you will end up getting a loss. Because trading is something which requires personal skill and not some random third party's skill.

[Sithara007]

Its easy to determine what is Pump and Dump mean in crypto trading.. Pump means the price of the coin is rising and Dump means that the price went down.

I would slightly modify the definition by saying that a pump occurs when someone manipulates the prices by altering the demand-supply equilibrium. This individual causes a shortage of coins in the market all of a sudden. Thereby the supply-demand equilibrium is broken and the prices will move upwards. A dump is just the opposite of this.

[Nerman]

Its easy to determine what is Pump and Dump mean in crypto trading.. Pump means the price of the coin is rising and Dump means that the price went down.

I would slightly modify the definition by saying that a pump occurs when someone manipulates the prices by altering the demand-supply equilibrium. This individual causes a shortage of coins in the market all of a sudden. Thereby the supply-demand equilibrium is broken and the prices will move upwards. A dump is just the opposite of this.

Yes this is true Pump and dump is when someone or a group of people manipulate the price for their own gain. The Key word is MANIPULATE.

When the prices goes up it does not mean that someone is automatically  pumping and when price go down it does not mean automatically someone is dumping. The reason why it is happening usually in ICO is because of the coin price very cheap and they can easily manipulate it. Unlike for stable coins that are more expensive compared to newer coins.  Usually people who can make this move are institutions or Billionaires because it takes a lot of money to manipulate the market.

[naidray]

Its easy to determine what is Pump and Dump mean in crypto trading.. Pump means the price of the coin is rising and Dump means that the price went down.

Easy to find ? I’m not a trader, but I make investment (especially investing in wallets as savings) and I would say that investing/buying during the time of “DUMP” is perfect. But if you buy during the time of “PUMP”, you’re likely to encounter major losses.

[decryptionary]

I've seen several good definitions here for Pump and Dump.

Here's my own definition from https://decryptionary.com/dictionary/pump-and-dump/

An illegal manipulation tactic where people increase the price of a stock (the pump) so that they can sell it at those high prices for a profit (the dump). The person creating the pump and dump must first own some of the asset. Then they convince others to buy the asset with exaggerated or fake news causing the price to rise. At that point, they sell what they own. With no one promoting the asset, prices drop and many people are left with worthless assets and wasted money.

"Pump and dump" is often said in the crypto space to mean sharing news in forums (like this) and chat groups like Telegram to encourage people to buy a crypto. Then as more people begin buying, the price rises and sellers can get rid of their coins to these new buyers at a profit. Because the SEC is not yet regulating the crypto space, it is not illegal.