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Nowadays, the cryptocurrency market looks like a theatrical performance in which insiders write the script and unsuspecting retail investors play the roles of the extras.
While Altcoins are falling, meme coins in minefields and liquidity continue to be locked in listed funds (ETFs), institutions do not collect Bitcoin but do not inject free tether and Fiat in other assets.
Behind all this is a new wave of manipulations with Solana cartels, insider-driven pump and dump schemes with worthless tokens, the absurdity of artificial intelligence (AI) agent Trading and the epic landfill of the Trump, Melania, Libra and Broccoli tokens .
These patterns emphasize the continuous challenges of market transparency and stability, making it increasingly difficult for investors to navigate through space with confidence.
This article only contains a market overview and offers no financial recommendations.
The current market situation
The market is moved in a fairly expected way. BTC bounced back quickly but could not reach a new all time, so it started to slow down again.
Normally, if Bitcoin’s dominance fell, Altcoins may have had the chance to get up. But apart from a few short -lived spikes like ETH trying to break out There has been no big shift.
As a result, Altcoins look so weak that memes spread over their collapse over the industry, creating the impression that not only professionals, but even beginners have lost confidence in an altealth season.
The portfolios of most investors are deep in the red.
Adding the uncertainty is the geopolitical situation. Institutional investors remain sharp, for fear that the world is about to be a great conflict.
This has led major players to actively buy gold, which has set up new ATHS (all-time highlights) for the past two weeks.
This trend indicates that capital flows from risky assets, including crypto, and in safe port activa such as precious metals.
The liquidity crisis
The most important problem is now a real liquidity crisis. Highlighting scams, mass liquidations and hype-driven sectors Memecoins, AI -Tokens, etc. Ave absorbed huge amounts of capital and concentrated money in the hands of major players.
This is what we see on the market.
- Liquidity frozen in ETFs A significant part of the capital is locked in spot ETFs, which limits blood circulation at spot markets.
- Retail exhaustion and legal withdrawal A series of sharp sale and scams, such as the recent incidents with Trump and Argentina’s presidential token scale (which saw more than $ 250 million lost), have seriously damaged trust and the reduced market activity.
- Capital outflows to traditional assets While Crypto is confronted with a crisis of trust, Gold sets new addtm and the stock market continues to attract institutional investors.
- Ongoing liquidity tiders Altcoins increasingly do not meet expectations, and instead of a new growth cycle we see a systematic transfer of the funds of retail investors in the hands of major players.
- Memecoins and AI -Tokens After explosive growth in 2023, they now experience brutal crashes, with price decreases of more than 90% the standard.
In the midst of this, market stability is weakened, especially in the Defi sector, which is critically dependent on liquidity.
Systematic liquidity manipulation in the Memecoin market
Just when the dust settled from the scales and the KSA -scam, the market was confronted with another case of speculative manipulation, this time with the broccoli token.
Named after the dog of CZ, the broccoli -token became another example of how the crypto -market manipulation continues to enrich insiders while retail investors leave loses, so that confidence in space is further eroded.
Most important phases of the schedule
- Artificial hype creation Limited liquidity and aggressive marketing provided a rapid price.
- Peak pump phase More traders participated, attracted by rising prices and buzz on social media.
- Sharp collapse Insiders threw their participations, took a profit and crashed at the price of token.
This case confirms that the market remains very vulnerable to speculative strategies by large players, who operate hype-cycli to generate price movements in the short term.
Conclusion
The market now balances between two opposite forces.
On the one hand it is emptied by massive scams, capital locking in ETFs, geopolitical instability and general fatigue of the industry due to constant failures and fraudulent projects.
On the other hand, despite all the negative factors, the crypto market has experienced similar phases.
Major players are restored to the capital, and although institutions remain careful, they do not leave completely crypto.
However, if the current liquidity crisis continues, we could see another wave of panic, especially if arrests and investigations around scales escalate.
Yaroslav Kalynychenko is the head of marketing on Generis Web3 Agency And an expert in promoting crypto, fintech and innovative digital solutions.
Featured Image: Shutterstock/Vumper Design/Sensvector
Credit : dailyhodl.com
