Price Manipulation in Crypto: What You Should Know

Tokens like $JELLYJELLY have drawn attention for unusual price movements that raise questions about market fairness.

What exactly is price manipulation?

It refers to coordinated actions to artificially drive prices up or down, typically by parties with significant market influence. This practice can involve pump-and-dump schemes, wash trading, or coordinated buying/selling through multiple accounts.

In decentralized markets, certain well-capitalized entities—including major trading platforms—have the infrastructure to execute such strategies at scale.

The key warning signs?
- Unexplained price swings disconnected from news or fundamentals
- Unusual trading volume patterns
- Coordinated movement across multiple tokens

While regulatory frameworks are tightening, retail traders should remain vigilant about market structure dynamics and consider these factors before entering positions. Due diligence on liquidity sources and trading venues remains essential.