The Bitcoin (BTC) price has been fluctuation in the recent days and reached a stable mark of $4,000 and dropped slightly below the resistance level. Now the cryptocurrency is seen trading $4,074 which is down some 80% from its all-time highs of near $20,000. The cryptocurrency has faced accusations of manipulation, with a long-running bear market causing a difficult crypto winter.
A report from researchers from startup Tie finding is warning the bitcoin and cryptocurrency trading volume on some of the world's largest exchanges may not be "genuine." 90% of the volumes shown by the exchanges are questionable. The researchers compared the average trading volume of $600 weighted per user visit at the major crypto exchanges including Coinbase Pro, Binance, Kraken and Gemini.
The data researcher analyzed internet traffic on the top 100 crypto exchange websites and discovered 75 of the trading volumes on the exchanges were more than double expected and 90% exchange volume would be false.
Exchanges including ZBG, BitMax, BW and Lbank were reporting false trading volume that was 10 times higher than expected.
Tie said via Twitter,
According to the firm some exchanges such as BitMax, Lbank, BW, and ZBG showed extremely high reported volumes and the expected volumes were 1%.
There will be more demand for bitcoin and other major cryptocurrencies if the exchange volumes are boosted in a fake way. This method will cause confusion among traders and investors and will not get proper information to gauge the actual situation.
Over the past few months the price of bitcoin were run by the bears. Recently it hiked and was seen trading above $4,000. Meanwhile bitcoin bulls praise about bitcoin and its future possibilities and price rise.