The bots that are used in the crypto world are highly advanced machines and they get very mean when they come across a vantage point. They create artificial situations by pumping up the prices and inexperienced investors fall prey and buy this, the บอทคริปโต suddenly sells off, in a good synchronised way. The investors are left in the lurch with no new buyers they value of their coin stock loses sheen as quickly as it had gained a few minutes ago. The crypto currency witnesses such scenes regularly.
It is know a trader groups come together and allow the bots to function in such a fashion. As more new people are getting sucked by the crypto craze, they will a lot of gullible people to be manipulated. The bots just get the work done for the few people who stand to take the market for a ride each time they want a gain from it. This constant happening aren’t good for the currency and people may opt out as quickly as they joined in.
How to know you are dealing with bot
To capture the sure signs that there is something fishy and the prices don’t seem right is by noticing that the steep drops and in prices or steep rises in prices, it should make you aware that the bots are work and they are manipulating the market. An individual who wants to evaluate the nature of the market when bots are into play by trying to trace the match ups of the drops and rises with their respective times and the trading before any flash crash. The normal human trading behaviour isn’t so erratic, and the dips and peaks aren’t so deep and steep. This is when you will gauge that bots are at work and you should be careful when you are setting out to trade during such situations.
Snooping out the bot
Another indicator that a บอทคริปโต has come into play are the price momentum and volume of trade they do. It more than normal and the price changes within seconds and the a normal trading pattern doesn’t show such rapid and huge volume of change in such a short span of time. If the individual takes an account of this, then they could avoid the pump and dump, or the flash and crash strategies employed by the bots to manipulate the market in their favour.
There are people who come together to get such bots made and use them for such activities. There are online forums where such like-minded people communicate and go back and forth to get the bots made to their convenience and manipulate the whole crypto currency system. Such groups will have discussions regarding price manipulation. These are tech geeks, but they lack the financial knowhows to double their money but use technology to manipulate it.
There are now new technologies set out to detect bots, but the bot makers find ways to get away unnoticed. It is still a cat and mouse chase, unless the cryptocurrency market gets regulated in time, there isn’t much to avoid the bots from what they are doing.