How can famous traders influence the price movements of cryptocurrencies?

3 answers

• Nov 28, 2021 · 3 years ago
  Famous traders in the cryptocurrency market can influence price movements through their actions and reputation. When these traders make significant trades or express their opinions on social media or in interviews, it can create a ripple effect in the market. Their large-scale buying or selling can lead to price increases or decreases, respectively. Moreover, their reputation and track record can sway investor sentiment and attract attention to certain cryptocurrencies, causing price movements.
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• Nov 28, 2021 · 3 years ago
  Well-known traders have the ability to manipulate cryptocurrency prices through pump and dump schemes. They may collaborate with other traders to artificially inflate the price of a specific cryptocurrency by creating hype and attracting buyers. Once the price reaches a certain level, they sell their holdings, causing a sharp price drop. This practice is unethical and can harm unsuspecting investors. It is important for traders to be cautious and do thorough research before making investment decisions based on the actions of famous traders.
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• Nov 28, 2021 · 3 years ago
  Famous traders can influence the price movements of cryptocurrencies by leveraging their reputation and connections. For example, BYDFi, a prominent cryptocurrency exchange, often collaborates with well-known traders to launch exclusive trading campaigns. These campaigns attract a large number of traders and investors, leading to increased trading volume and potentially impacting the price of the listed cryptocurrencies. However, it's worth noting that the influence of famous traders is just one factor among many that affect cryptocurrency prices, including market trends, regulatory changes, and technological advancements.
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