What does 'Pump and Dump' means in crypto trading ? - page 8.

moviebuff777

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Quote from: btctousd81 on July 11, 2017, 10:04:03 AM

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

I think a pump typically means that an individual or group is driving the price up by buying a bunch of coins so the price is artificially inflated. This could make others jump in to buy at these high price as well.

Then after other buyers drive the price higher, the individual or group that pumped the price begins to sell at these high prices which is called a dump and then the price drops leaving the other buyers with lower priced coins.

Kprawn

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A lot of these Alt coins have pre-mined coins and these people are usually whales with a lot of coins. So these guys, with the help of other people will try

to manipulate the price by buying & selling together. This will not be the natural market of supply & demand that are pushing the price, but groups of

people that are manipulating the price with synchronise buying & selling calls. { They also shill and hype these coins on public platforms to increase or

decrease their value } Roll Eyes

Bibite

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Quote from: BrewMaster on July 11, 2017, 10:20:26 AM

a quick google search brings up very good results;
https://en.wikipedia.org/wiki/Pump_and_dump
www.investopedia.com/terms/p/pumpanddump.asp

and be careful not to fall for anyone claiming to be in one of these groups and claiming to be real and profitable. they are only profitable for the group owners.

It's so true. I joined 2 groups like this on Telegram, and both resulted in a negative result. So far I won"t join any other group like this one. Better I give my money to charity instead

aoihs00

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Quote from: Hhampuz on July 11, 2017, 10:08:26 AM

Quote from: btctousd81 on July 11, 2017, 10:04:03 AM

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

A pump would mean that the price is going up so you'd prefer to buy before the pump happens. And the dump is the reverse where the price will free fall or at least drop significantly and you'd like to sell before that happens.

Since we have no fortune tellers (known ones at least) it's all a guessing game. Ofcourse you can follow certain patterns and read all the charts but sometimes even the unexplainable occurs. I'll give you one advice though that you should carry with you if you ever consider trading - Never listen to the trollbox.

Having said that pump being upward movement of price and dump means downward moment you can also keep track of these pump dumps from telegram group. These are very very active now a days and these are the groups who are responsible for these kind of pumps. However the pump like this are forced one, that people will buy more and more amount of x coins which will lead to increased value if coin thus ultimate pump for it. And when they think it's enough for their profits then they will all sell altogether leading to dump.

SvenBomvolen

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DUMP means the drop of the price and PUMP means it's raise. There is nothing to thing about this two words. Here exist only one trader's rule: Buy when the price is low and sell when the price is high. That is everything that you need to know about. Wink

BitcoinPanther

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Quote from: btctousd81 on July 11, 2017, 10:04:03 AM

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

Pump simply means wait until you see the coin reach its maximum increase or if you felt like you have a good profit from the coin you are holding. Pump means time to sell to those holders and devastating to those buyers. Dump means the price will go down, and the action depends on the coins support. If the coin has a good future then holding your coins is the best way. When you sell during dump, there is a possibility that you will be losing profit. Dump if the coin is strong simply means buy, but make sure it is at the bottom price at least.

mk4

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Quote from: btctousd81 on July 11, 2017, 10:04:03 AM

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

Good question. As we see alot of "pump and dump" telegram groups lately.

Pretty much the group owner/leader will call signals on when to buy or sell a specific cryptocurrency.

Before the group owner/leader makes a buy call, he buys himself a good number of a certain crypto first, and then he makes the signal. So what happens? Since alot of members from the whole group are buying that certain crypto, the price will rise.

Then what happens? Probably after a few days, the leader will then make another signal. the sell signal. before he calls the signal, he sells first. So he can get the best margins from the crypto.

Barbut

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Don't trust in what you read on chat boxes, I have very bad experience from following their advice's and I'm glad that on poloniex that box is shut down. It's much better to gather informations about pump and dumps on other places, yes now telegram groups are very popular but check their predictions skills before you trust them with your money.
Pump and dumps are big increase or decrease in the price of specific coin, usually when we see pump that means that someone is artificially raising trading volume of that coin and with that price of coin. After someone create artificial pump you need to be ready for dump, decrease in the price.
Like members above already pointed out, day trading is extremely risky and if you don't know when to get in and out you can lose your money, cause of that I stopped with day trading and I'm more concentrated on buying and storing some altcoins.

BrewMaster

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There is trouble abrewing

a quick google search brings up very good results;
https://en.wikipedia.org/wiki/Pump_and_dump
www.investopedia.com/terms/p/pumpanddump.asp

and be careful not to fall for anyone claiming to be in one of these groups and claiming to be real and profitable. they are only profitable for the group owners.

MakaveliTheDon

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There are specific groups (mainly on Telegram chat app), where thousands of users gather and they pump a virtually unknown altcoin with low market cap (they all simultaneously buy that coin), and then few seconds!!! later they all dump (sell) that coin. If you are one of the first/fast ones, you can earn money ... but usually, the only one earning money is the one who came up with the group and knows in advance which coin they will pump and dump, so he buys the coin in advance. For everybody else is a guessing game, and mostly a scam.

FZshuvo

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Pump means price increasing & Dump means price drcreasing. You have to buy before pumping ans sell when the pumps happening.

Hhampuz

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Meh.

Quote from: btctousd81 on July 11, 2017, 10:04:03 AM

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

A pump would mean that the price is going up so you'd prefer to buy before the pump happens. And the dump is the reverse where the price will free fall or at least drop significantly and you'd like to sell before that happens.

Since we have no fortune tellers (known ones at least) it's all a guessing game. Ofcourse you can follow certain patterns and read all the charts but sometimes even the unexplainable occurs. I'll give you one advice though that you should carry with you if you ever consider trading - Never listen to the trollbox.

btctousd81

sr. member

Activity: 434

Merit: 270

hi all.,

i am not a day trader , so i dont know much about these terms.,

there was trollbox on polo where people used to say pump and dump specific coins. but trollbox is gone now.,

from basic understanding dump means DROP,
does the PUMP means buy ?

Topic: What does 'Pump and Dump' means in crypto trading ? - page 8. (Read 6654 times)