3 Ways to Avoid Crypto Market Manipulation for Bitcoin Traders

Bittime - The cryptocurrency market is often a target for various types of manipulation, which can affect the price of digital assets, such as Bitcoin. Market manipulation can occur in various forms, such as pumping and dumping, wash trading, and spoofing. 

For Bitcoin traders , it is important to be able to recognize the signs of market manipulation and take steps to protect themselves from the associated risks. Here are three ways to avoid crypto market manipulation.

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1. Understand the Signs of Market Manipulation

The first step Bitcoin traders can take is to understand the common signs of market manipulation. Here are some signs to pay attention to.

• Unreasonable Trading Volume

Manipulators often create fake trading volumes by engaging in wash trading, that is buying and selling assets to themselves to create the impression of high trading activity. Bitcoin traders should be wary of unreasonable trading volumes that do not correspond to actual market activity.

• Rapid and Unreasonable Price Changes

Manipulators often try to trigger rapid and sharp price changes by pumping and dumping , that is, buying large amounts of an asset to increase its price. Then sell it suddenly to make a profit. Bitcoin traders should be alert to unusual and suspicious price changes.

• Fast Large Orders on Market

Manipulators sometimes place large orders in the market to create the impression of strong supply or demand, but they then withdraw those orders before they are executed. This is known as spoofing and can unfairly influence asset prices. Bitcoin traders should pay attention to suspicious order behavior in the market.

Also Read:  Why Did Bitcoin Prices Drop After Bitcoin Spot ETF Was Approved?

2. Conduct thorough fundamental and technical analysis

Bitcoin traders can use fundamental and technical analysis to help identify potential market manipulation. Fundamental analysis involves evaluating factors such as news, project announcements, and the underlying economic fundamentals of a digital asset. If price changes do not match fundamental developments, this could be a sign of manipulation.

On the other hand, technical analysis involves the use of price charts and technical indicators to identify market patterns and trends. Bitcoin traders can look for signs of manipulation in price patterns or unusual trading volumes. For example, if there is a large discrepancy between trading volume and price movement, it could be an indication of manipulation.

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3. Trade on a Trusted and Regulated Platform

One of the best ways to protect yourself from market manipulation is to trade on a trusted and regulated platform. Bitcoin traders should choose a crypto exchange that is reputable and has implemented measures to prevent market manipulation, such as actively monitoring trading activity and implementing strict rules regarding unfair trading behavior.

Additionally, Bitcoin traders should also pay attention to the reputation of the cryptocurrency project being traded. Projects with transparent development teams, clear roadmaps, and strong community support tend to have less risk of market manipulation.

In the face of crypto market manipulation, it is important for Bitcoin Traders to remain vigilant and take necessary precautions. By understanding the signs of market manipulation, conducting thorough analysis, and trading on a trusted platform, traders can reduce the risk of falling victim to market manipulation and protect their investments in the long term.

Also Read: What is Trade Volume?

How to Buy Bitcoin (BTC) with Bittime

Are you interested in buying and investing in Bitcoin? If you are interested, you can buy it on Bittime. BTC tokens are available on Bittime in BTC IDR pairing. 

Here's a guide on how to buy BTC tokens on Bittime. 

• Register for an account on Bittime using an active email. 
• Complete the identity verification process.  
• Once your account is verified, open the Bittime app.
• Select the Markets menu or click on the icon with the chart. 
• Select the IDR pairing to buy BTC with Rupiah.
• Click 'Buy'.
• Choose the type of order to use. Limit orders, market orders, and stop orders are available.
• Enter the amount of rupiah to buy BTC.
• Click the 'Buy BTC' button. 
• A notification pop-up will appear. Read it carefully and click 'Confirm'. 
• Enter your six-digit Transaction PIN.
• The app will display a successful order notification. 
• Check your BTC balance in your e-wallet after a successful transaction.

To see a complete guide on how to buy Bitcoin (BTC), you can click here.

Apart from buying Bitcoin (BTC), you can also buy various crypto assets, such as ETH, USDT, SOL, ADA, AVAX, DOGE, and many others. Monitor graphic movement of Bitcoin (BTC) price, Ethereum (ETH), Solana (SUN) and other cryptos to find out today's crypto market trends in real-time on Bittime.

Buying and selling crypto assets on Bittime is easy, safe, and instant. Bittime is officially registered and supervised by Bappebti and Kominfo.

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DISCLAIMER : This article is informational in nature and is not an offer or invitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.