Topic: Good trading volume doesn't mean a token is good - page 9. (Read 889 times)
Large volumes of coin tokens can be manipulated easily. I once traded coins that were rarely in demand but the volume of coins was high. High volume was indeed manipulated using bots. I can't sell coins properly. A healthy coin volume is when many trade without using bots.
Bad projects can have fake volumes as well, i think its better to do research very well before investing in any projects, make sure they have what it takes to be useful for the people, good useful coins will never die easily
The volume can be pumped and also you can use bots to create the appearance of trading. Each coin is twisted as it may, this should be checked thoroughly for every project.
There is a market maker for hire who has the sole purpose of making your token active in terms of daily trading and sometimes this creates hype for the project to attract investors or traders. In addition, trading volume can be fake so never ever rely the worth of a project just because it has a good trading volume.
About the use case, many traders here don't really care much about real use case of a token or a coin. Those who say volume is an indicator that a project is legit probably haven't read the project's whitepaper. That may sound rude or harsh but let us all be honest here.
but a good volume can describe the condition of coins in the market, it must be examined again to find out more. If you do research on all tokens that have low volumes and large volumes it will take a lot of time, unless you have a lot of time you can do it. the most important thing before assessing coins is you have to research many aspects they have
Behold good trading volume doesn't mean a coin or token is good, i read in a thread where few people are saying if a coin has no volume means its a bad coin, well here we go, bad coins can have huuuge volume, you must have heard of bomb token? bomb token has good trading volume but guess what? it has no real use case, the volume comes from HYPE because its a deflationary tokens, people believed that the more a max supply of a token get decreased or burned off over time means they are GOLD tokens, it does bring profits to early adopters like they say but NO REAL USE CASES.
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