Worries of Fake Bitcoin Volumes Could Derail BTC Bulls

Dalmas Ngetich

1 year ago

2 mins read

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Bitcoin price up 4.3 percent in last week
Jay Clayton worries affirmed by recent Integrity Report
Transactional volumes low but can rise as prices recover

Derailing possible bulls are worries of fake volumes printed by obscure exchanges. These actors while core to crypto are also taking part in malpractice that could hinder the approval and final roll-out of a Bitcoin ETF. In the meantime, Bitcoin has support and up 4.3 percent from last week’s close.

Bitcoin Price Analysis

Fundamentals

The global and unregulated nature of cryptocurrencies means some exchanges are perpetrators of wash trading and other illegalities unheard of in regulated exchanges. When they wash trade or participate in pump and dump schemes, it is usually the end user, the innocent investor or trader who feels the pinch. Add that to the ripple effects when an ICO project or a coin is deliberately inflated and later busted then it becomes a double loss. Not only will they have to lose steep listing money but they also have to address investor loss in confidence.

In the long term, a solution will be found, but at the moment, Bitcoin traders have to deal with the real prospects of the most valuable asset tumbling. A report by Integrity seems to cast doubt on February’s robust volumes saying up-to 88 percent of these volumes are false.

By employing tools that collect market data from several trades and order books, the pseudonymous group, NewsBTC reports, revealed widespread falsehood and outright volume manipulation. If that is that case, then it means recent gains were propped by weak hands and the signal fanned by exchanges keen on falsely painting a “healthy” market.

Candlestick Arrangements

At the time of press, Bitcoin (BTC) is up 4.3 percent from last week’s close but still struggling with consistency. Like in all our previous Bitcoin price analysis, we shall maintain a bullish outlook. However, it is after there is a thrust and closes above $4,000 and later $4,500 is when risk-averse traders can initiate longs with modest targets at $6,000. Before then, risk-off traders have an opportunity to fade the current trend, buy on dips as Bitcoin price action trend within a bullish breakout trade.

Technical Indicators

The fact that prices are finding support at the 20-day moving average is bullish. By today’s close, we shall have a long-wick bar indicating Bitcoin demand in lower time frames. Should there be a confirmation and prices rally above $4,000, then the accompanying volumes must exceed averages of 5.7k and 36k of Feb 24.

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

Dalmas is here to help make the tech easy to understand and digestible, even for beginners.
The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
This possibility and its immense value motivate Dalmas to continue breaking key DeFi innovations and more across the globe. His engineering background further enhances his ability to deliver well-thought-out pieces that blend technical insight with clear, impactful reporting.

Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.