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Market Manipulation Risks Facing PIPPIN
Recently, a phenomenon worth noting has emerged—several tokens such as PIPPIN, JELLYJELLY, and others have shown signs of being manipulated.
What exactly does "being manipulated" mean here? Simply put, it refers to someone (usually a single entity) controlling trading flows to artificially inflate or deflate prices. In such cases, the manipulators are typically funds from major exchanges.
Price manipulation techniques are not complicated—large buy and sell orders create false market demand or selling pressure, inducing retail investors to follow suit, ultimately selling at high prices or accumulating at low prices. If you notice that a certain token's price fluctuations are excessively volatile and detached from its fundamentals, it is likely that such manipulation is at play.
For these situations, investors are advised to stay vigilant and carefully assess market signals and the project's fundamentals.