Can crypto projects manipulate their price?

Joined
Apr 2021
From
Paris
Hi everyone. I just noticed that many new altcoins follow the same pattern : They created at a very low price, after early people buy the price goes up to x20, then everyone talks about it in social media and everyone buys it, and just after that the price stays stagnated.

Can the authors who created the the blockchain manipulate the price ? I know the price depends on supply and demand but how exactly price varies mathematically when designing the blockchain?

Can some dishonest coins creators manipulate the price for their own interest?
Thank you
 

evo

Site Admin
Joined
Apr 2017
When a new coin launches, the price is dictated by tokenomics and demand. Focus on circulating supply, total supply, and token unlock schedules to understand why the price of a coin fluctuates so much.
 
Joined
Aug 2020
From
Hungary
They cannot directly influence the price. But it's possible to manipulate it to some extent, for example by insider trading.
 
Joined
Aug 2020
From
Hungary
Is insider trading allowed?

Maybe someone should start an Insiders Introduction Service that helps people meet insiders :cool:

There are legal and illegal cases of insider trading - you are allowed to buy/sell an asset if you are an "insider" but if it comes to light that you did it because you received non-public information about said asset, or did it purely to manipulate prices, that's illegal. Of course I don't know how that works with cryptos exactly, since the crypto market is way less regulated than for example the stock market. All in all, I don't think a service like that would last long, but nice try :D
 

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