The report of the analytical company Arcane Research contains information on the possible reasons for the sudden rise in the price of Bitcoin SV by 200%.
The Weekly Update: 2017 sentiments are back in the crypto market, as altcoins register wild gains. Read more about this and other highlights in our weekly market update. https://t.co/V8kLoenvMj pic.twitter.com/tmiDlx68Iw
— Arcane Research (@ArcaneResearch) January 17, 2020
Among other reasons, experts call the case of Craig Wright, posing as Satoshi Nakamoto. Especially the Bitcon SV course could be influenced by the news about Wright getting access to wallets with 1.1 million bitcoins.
As analysts noted, this information affected the course of all forks of the first cryptocurrency. But BSV is still not liquid, as it is absent on most popular cryptocurrency exchanges. Because of this, the price of coins is easy to manipulate. Of the major exchanges that support trading pairs with this token, only Huobi, OKEX, and Bitfinex.
Representatives of the analytical company also noted that fake trading volumes of most exchanges on CoinMarketCap may turn out to be one of the primary factors.
“Looking closer at the volume and liquidity of BSV, most exchanges that are ranked top on CMC* seem to have a lot of volume, but totally insignificant liquidity. This may indicate that most volume is fake/wash trading, and the lack of liquidity makes manipulating the price easier” — the report says.
In the presented report, among the coins that showed the largest growth in recent weeks, tokens with medium or low capitalization are mainly presented. DASH showed growth by 100%, Augur – by 84%.
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