Pump-and-dump? Crypto turns Rs 1,000 into Rs 2.37 crore in a day.

Cryptocurrencies are known for their vast swings quickly, whereas micro tokens are known for their strange strikes. With a small market size and tight liquidity, such tokens can deliver ultra-multi-bagger returns in as little as a day or two. However, not all buyers will be able to profit from such tokens.


Squid Games' SQUID and Kokoswap (KOKO) are two of the most notable instances. According to Coinmarketcap data, Ethereum Meta (ETHM) is the newest addition to this list, with a gain of more than 2.35 lakh percent in the last 24 hours. In only a few hours, the value of the digital token soared by 2,37,000%. During that time, the cryptocurrency price rose from $0.00000005033 to $0.0001194. For 11.30 IST, however, it was buying and selling at $0.00006449. It surpassed the one-crore mark in a day.


Market Capitalization of Cryptocurrencies


This token's total cryptocurrency market value was just over $8.5 million, with its traded volume jumping more than 160 percent in the previous day. The total number of providers is 99,000,000,000, which is the token's maximum limit. However, according to the data, 50.01 billion ETHM tokens were in circulation.


Ethereum Meta was buying and selling on a few decentralized exchanges with a 24-hour buying and selling volume of roughly $150,000, according to Hitesh Malviya, founder of itsblockchain.com. "When volume or liquidity is low, severe volatility can be expected." A single giant whale's movement can cause prices to plummet. 


How do investors make money? Before investing a single penny in this new initiative, investors should bear such manipulative situations in mind.


In the crypto market, Ethereum Meta is not a new label. It has been in existence for three years. Ethereum Meta solves one of Ethereum's major flaws: a lack of privacy. It essentially allows for good contracts when no one can see what has been agreed upon.


Improvement


According to Raj A Kapoor, Founder, India Blockchain Alliance, after the Ethereum platform adopts Zero-Knowledge Snarks, a feature known as Smart Contract Mixer could be enabled. As a result, the system would be even more environmentally beneficial. "Moreover, the Ethereum Meta token is the backbone of the Tor Browser's anonymous e-marketplace, which enables a completely anonymous experience," he continued.


On the other hand, analysts have labeled this a rip-off in which the value increases on the charts, but no customers can see any actual earnings in their accounts.


The token's value has risen primarily as a result of the addition of $4,659 in pump-and-dump crypto to increase liquidity, according to Manav Bajaj, Founder of Panther Quant. So, in theory, a $5,000 purchase gives the volatility. "Because tokens are mintable, developers can raise the supply at any time." Furthermore, 99 percent of the tokens are held in a single wallet. People who buy or promote these coins only based on their growth on the charts are dumb," he continued.


Suggestions from Market Experts


Such stories in the crypto verse, according to market experts, were entirely pump-and-dump crypto performances, with cryptocurrency prices reaching crore in a single day. According to Abhay Aggarwal, Founder, and CEO of Colexion, Buyers should be wary of such tokens because their costs are essentially nil, and liquidity is concentrated in the hands of a few. "It's straightforward for someone to launch tokens and generate interest. How do investors make money? Investors should avoid falling into these traps and putting their money in danger. They should concentrate on the team behind the coin and the projects that it supports," he added.


Comments

Leave a Comment