Coin holders who see this sell order often choose eggs for their money they sell the coin slightly below the sell wall, which means that the price of the coin drops. The manipulator then cancels his or her sell order and buys the coin cheaply, after which it immediately rises again (after all, the large sell order has disappeared and there is room for growth again). This is also called ‘spoofing’ and is even punishable on the regular stock market.
Pump and dump
A ‘pump and dump’ is also a common form of market manipulation in the crypto trade: a meaningless coin with little volume is suddenly purchased (often by a group of people) so large that the price sometimes increases by as much as twenty percent in an hour. Other people see this and buy the coin, hoping it will continue for a while.
This often happens for a while, as more and more people buy after seeing the rise, after which the initial group of buyers sells the currency en masse and suddenly for a high price. This completely collapses the house of cards. The victims: people who bought at the top of this pyramid scheme in the hope that the currency would rise further. From neuer capital uk blog you will be able to know everything about it.
Important to remember: the more volume a coin has, the harder it is to manipulate
Finally, it is important to know that the majority of the altcoins are purchased with Bitcoin, which means that the rate must also be recalculated to euros via Bitcoin. This creates a leverage effect: if a currency increases by 33 percent and if Bitcoin has increased by 12 percent in the meantime, a euro increase of 48.96 percent (1.33 x 1.12 minus the investment amount) will arise. This can, of course, also be to the detriment of someone: if a currency has risen by 33 percent but Bitcoin has fallen by 13 percent, there is a gain in euros of just 15.71 percent.