So, everyone knows that whales are investors who own large digital assets. And bitcoin whales are the owners of wallets that store more than 1000 BTC. How do whales manipulate the cryptocurrency market? The cost of a cryptocurrency is determined by supply and demand. Crypto whales have the unique ability to manipulate the crypto market to their advantage. The actions of whales can often lead to various events on the crypto market. Individuals with huge holdings of cryptocurrencies can dictate monetary policy, much like central banks and governments do in the traditional financial sector. Bitcoin whales can have a huge impact on the bitcoin market, but in practice, their influence extends to the altcoin market. The market capitalization of many altcoins is less than $ 100 million, so if a whale buys or sells a huge amount, it will have a huge impact on the market. Whether the whales are holding or trading cryptocurrency, they influence the market in one way or another. While hodling creates scarcity, active trading creates instability.
No comments:
Post a Comment