š Spotting fake liquidity in Bitcoin and other cryptos can save traders from sudden market drops. Market makers, who provide liquidity, might manipulate the market by creating a false sense of demand or supply. However, savvy traders can spot these red flags with three indicators: traded volume vs. order book depth, trading volumes in relation to free market capitalization, and gaps in trading volumes. Tools like CoinMarketCap, CryptoCompare, and Coingecko can help traders analyze these indicators. So, keep your eyes peeled, folks! No one likes a nasty surprise. š
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content.Ā See T&Cs.
289
0
Replies 0
Explore the latest crypto news
ā”ļø Be a part of the latests discussions in crypto