How the Crypto Market Is Manipulated: Spoofing Explained
Manipulators in the crypto market use spoofing to trick traders and investors. They create a bunch of fake buy and sell orders for assets that they never plan to follow through on. Bots or automated systems place these orders, which get canceled when the price gets close.
For example, a spoofer might put in fake buy orders, making traders think there’s demand at a certain price level. But when the price gets close, the orders are canceled, and the market keeps falling. Imagine $BTC is at 60,000, a strong support level. The spoofer’s bots place big buy orders under this level like 59870. Traders see these orders and put same limit orders to buy or even open long futures trade orders because they think the price won’t drop. This lets the manipulator control the market’s and bots in a second removed orders, and market makers can easily push price to 59400 and liquidation cascade drop price much under
So be careful when you try trade just by order book