$MOVR This coin is looking interesting tonight.
It’s more than doubled in 7 days, up 104%, but today’s trading volume is only 80% of normal.
It’s going up, but volume is down. That’s the strangest part.
Usually, when a small-cap coin rockets, money piles in all at once and volume shoots through the roof. Retail traders chase it, then get dumped on at the very end. With this kind of gain on declining volume, there are only two possibilities: either the tokens are tightly held and there really aren’t many sellers, or liquidity has dried up and a few trades can push the price up—so it looks like it doubled, but one large sell order would send it crashing.
If it’s the first, you got lucky. If it’s the second, you’ll be left holding the bag.
I’m leaning toward the second. After all, hardly anyone actually trades these small-cap coins to begin with. If you’re itching to get in, only put in the amount you wouldn’t mind losing completely. Don’t treat it like a sure thing. $MOVR
It’s more than doubled in 7 days, up 104%, but today’s trading volume is only 80% of normal.
It’s going up, but volume is down. That’s the strangest part.
Usually, when a small-cap coin rockets, money piles in all at once and volume shoots through the roof. Retail traders chase it, then get dumped on at the very end. With this kind of gain on declining volume, there are only two possibilities: either the tokens are tightly held and there really aren’t many sellers, or liquidity has dried up and a few trades can push the price up—so it looks like it doubled, but one large sell order would send it crashing.
If it’s the first, you got lucky. If it’s the second, you’ll be left holding the bag.
I’m leaning toward the second. After all, hardly anyone actually trades these small-cap coins to begin with. If you’re itching to get in, only put in the amount you wouldn’t mind losing completely. Don’t treat it like a sure thing. $MOVR
