Fake volume?

[Gassom]

Are there alot of fake volume? How to identify this?

[bitcoinst]

The company Bitwise conducted a study on the topic of falsification of trading volume and revealed that 95% of the volumes on cmc are fake. You can view their full report here. Bitwise Asset Management.

Only 10 exchanges were accepted without fake volumes. All of them can be seen on the site created by the Bitwise company to track volumes.
https://www.bitcointradevolume.com/

[btc_angela]

There are one group of researchers, Blockchain Transparent Institute (BTI) who collected data and posted it to their website on who's who have fake volume as far as exchanges are concern. you can check it out here, Exchange ranking by real volume.

[JeromeTash]

Are there alot of fake volume? How to identify this?

Rule Number 1: Do not believe or follow exchange ranking data by trading volume reported by coinmarketcap. It's all inaccurate and fake!! Infact never use coinmarketcap at all and instead find alternatives like coingecko. Coinmarketcap are the root cause of all this by ranking exchanges based on their 24-hour trade volume.

[Harlot]

You can easily spot fake volume from an exchange by monitoring the volume of that crypto in other exchanges. In this way you can really see if there are real volume going on in those exchanges, you can monitor their volume by looking at Coingecko's exchanges page and see one by one the cryptocurrencies listed in those exchanges or you can check tradingview chart's for each crypto in an exchange. Other than that you have an option to create an account for other exchanges just for the purposes of monitoring volume and market orders.

Are there alot of fake volume? How to identify this?

Rule Number 1: Do not believe or follow exchange ranking data by trading volume reported by coinmarketcap. It's all inaccurate and fake!! Infact never use coinmarketcap at all and instead find alternatives like coingecko. Coinmarketcap are the root cause of all this by ranking exchanges based on their 24-hour trade volume.

I think we should consider Coinmarketcap to have a clean slate after being acquired by Binance. After all this will be their number one priority in order to make the reputation of CMC any better. They have acquired CMC for around 400 million dollars so I think they are serious on making CMC better starting off with the accuracy and reliability of their data.

[sujonali1819]

Yes most of the crypto exchanges are with fake volume. And very few exchanges are without fake volume. You can see some exchanges ranking with real volume here: https://www.bti.live/

To be honest most of the centralised exchanges are using bots. So you can face always in a centralised exchange. In this case you can use decentralised exchange. But it has lack of volumes.

Actually I don't know there have any technical way to catch fake volume exchange or not but I can say when you see a exchange in some ranking site on the top but when you try to trade you can not get enough price due to low volume is fake volume exchanges imo.

[nakamura12]

Yes most of the crypto exchanges are with fake volume. And very few exchanges are without fake volume. You can see some exchanges ranking with real volume here: https://www.bti.live/

To be honest most of the centralised exchanges are using bots. So you can face always in a centralised exchange. In this case you can use decentralised exchange. But it has lack of volumes.

Actually I don't know there have any technical way to catch fake volume exchange or not but I can say when you see a exchange in some ranking site on the top but when you try to trade you can not get enough price due to low volume is fake volume exchanges imo.

Yes it is very hard to catch fake volume exchanges. Even the price of bitcoin on some exchanges are also not the same so it is much better to compare those exchanges to determine exchange site has more volume. It really is annoying when you want to know the accurate one and see many fake or inaccurate volumes. I wonder if the data they got is on time.

[charlie137]

Id say over 95% of cex data reported is fake https://www.theblockcrypto.com/genesis/24878/up-to-86-of-total-reported-cryptocurrency-trading-volume-is-likely-fake-according-to-analysis-of-exchange-website-visits
another question - how big is the offset for all that fake meta

[Kupid002]

Are there alot of fake volume? How to identify this?

its  easy to identify a fake volume coins or tokens you can check and visit their telegram group if they are persons who really  a supporters of that coins if there are more people .

You can also check the exchange they are listed fake volume only use to buy the coins directly using bot. The difference of orders and volume is too way different when you visit the exchange .

[tbct_mt2]

This one is a great tool for technical guy. https://github.com/Whalepool/Bitcoin-Volume-Validator
You can choose Adjusted volume or Reported volume on coinmarketcap.com.
Reported volume: https://coinmarketcap.com/rankings/exchanges/reported/
Adjusted volume: https://coinmarketcap.com/rankings/exchanges/
or by liquidity: https://coinmarketcap.com/rankings/exchanges/liquidity/

[cryptoaddictchie]

its  easy to identify a fake volume coins or tokens you can check and visit their telegram group if they are persons who really  a supporters of that coins if there are more people .

I dont get why we should join their telegram to know if their volume is fake or not? Some investors are not even joining these social groups for discussion, even some whales playing up those volume doesnt need to be on telegram to do some manipulations.

This is not a good reason. Some projects have little community but you can see the demand on their token/coin on exchanges.

This one is a great tool for technical guy. https://github.com/Whalepool/Bitcoin-Volume-Validator
You can choose Adjusted volume or Reported volume on coinmarketcap.com.
Reported volume: https://coinmarketcap.com/rankings/exchanges/reported/
Adjusted volume: https://coinmarketcap.com/rankings/exchanges/
or by liquidity: https://coinmarketcap.com/rankings/exchanges/liquidity/

This is a nice tool but I beg to disagree for coinmarkcap. I If I were to check the volume Id rather go straight for the exchange where that coin is listed and check the trading cause as many have mentioned here, relying on coinmarketcap data for volume is not helping as they tolerate some volume incurred from manipulations.

[romelitounknown]

The company Bitwise conducted a study on the topic of falsification of trading volume and revealed that 95% of the volumes on cmc are fake. You can view their full report here. Bitwise Asset Management.

Only 10 exchanges were accepted without fake volumes. All of them can be seen on the site created by the Bitwise company to track volumes.
https://www.bitcointradevolume.com/

I believe you but hey, how trustful is that link you provided? Im just wondering how they know which exchanges has fake volumes.

[jseverson]

You can use this as a reference:

https://www.cryptocompare.com/exchanges/#/overview

But as with every centralized service, take it with a grain of salt. A good guideline to follow is that generally, old and big exchanges are less likely (meaning they still could, but they potentially have more to lose than gain) to fake their volume, while new and small exchanges are more likely to fake theirs. It's usually better to stick to reputable ones anyway.

[Onuohakk]

Are there alot of fake volume? How to identify this?

Rule Number 1: Do not believe or follow exchange ranking data by trading volume reported by coinmarketcap. It's all inaccurate and fake!! Infact never use coinmarketcap at all and instead find alternatives like coingecko. Coinmarketcap are the root cause of all this by ranking exchanges based on their 24-hour trade volume.

I never believed it for once that coinmarketcap can give fake volume until I confirmed it minereum token. I learnt that Binance are planning to acquire coinmarketcap soon. I believed that they'll put an end of fake volume on

[Lorokan]

Are there alot of fake volume? How to identify this?

To my knowlegde, i believe the best way to ascertain a fake volume, is by logging in to the exchange, and checking the trade volume on the exchange, after you have done that, you can then check the existing or available buy orders; if it can indeed be up to the volume stated by the exchange or coinmarketcap.

I do this because, there are several tokens with 10,000$ + daily volume, with buy orders of less than 500$
Even with this, always do your own research