The manipulation in the market of cryptocurrencies
In the last hours the commission of Securities and Stock Exchange of the United States rejected the Exchange Traded Fund (ETF) of the Bitcoin of the brothers Winklevoss, owners of Gemini the house of change.
Among the allegations of the SEC are the manipulation of the price of bitcoin and other digital currencies.
The SEC is not the only government agency in the United States that believes there is manipulation in the bitcoin, a few months ago the department of justice had opened an investigation against this market for complaints from minority investors.
¿Is the manipulation in the market of cryptocurrencies possible?
According to investigations of the Common Fund of Investments Ltan Inc. It is the most manipulated market in the world, for a simple reason, there is no entity that regulates purchases and sales, such as the flow of money. This Fund also believes that the manipulation of Bitcoin is carried out thanks to the fact that the purchase and sale of the asset is done anonymously, enabling any investor with enough economic support to raise and lower the price to their liking.
One of the first media to talk about the manipulation of Bitcoin was Bloomberg, in the newspaper article highlight that they also manipulate the market through unfounded news and also the Pump / Dump where the price of a digital currency is inflated for no apparent reason, but used by the big investors to be able to sell their tenure.
Another one of the most used forms for the manipulation are the algorithms, these act for the houses of big change that look for to maintain the price or to diminish it injecting small sales of fast form, making believe to the investors that more sale exists than it buys, after having Once the objective is achieved, the algorithm disappears, to allow the price to start rising slowly.