What is Dumping?

An actual dump can also be associated with the quick disposal of consumers' own cryptocurrency assets in order to benefit quickly. Furthermore, the phrase is frequently associated with <strong>a <a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-pump-and-dump-pandd-scheme/">pump-and-dump method<\/strong>. This method is always related to deceptive conduct and an effort to control the price of a coin artificially.<\/p>\n<p>For instance, a popular illustration of a dump and the impact it may have occurred in December 2017. Charlie Lee, the inventor of <strong>Litecoin,<\/strong> sold a significant quantity of LTC citing fears that it constituted a conflict of interest.<\/p>\n<p>Initially, the markets appeared unconcerned with the situation. Nonetheless, LTC plummeted down a red line and lost over <strong>50%<\/strong> of its value over the span of a few days. As a result, it took several weeks to regain the lost funds.<\/p>\n<p>Additionally, a 2018 research looked at the incidence of pump-and-dump strategies in the cryptocurrency market. Over the course of six months, investigators observed two prominent group-messaging sites used by cryptocurrency enthusiasts and discovered nearly <strong>3,400 such scams<\/strong>.<\/p>","definition":"happens when a big amount of cryptocurrency is sold quickly with hopes of gaining a large profit.","status":"published","meta_title":"What is Dump? Definition & Meaning | Crypto Wiki","meta_description":"Dump meaning: Dump - happens when a big amount of cryptocurrency is sold quickly with hopes of gaining a large profit.","meta_keywords":null}" :model="{"id":304,"wikipedia_url":"https:\/\/en.wikipedia.org\/wiki\/Dumping_(pricing_policy)","level":"easy","author_id":1,"created_at":"2023-06-19T06:58:59.000000Z","updated_at":"2023-11-29T07:46:42.000000Z","slug":"what-is-dumping","title":"What is Dumping?","section":"D","keyword":"Dumping","content":"<p>Currently, individuals that own enormous quantities of cryptocurrency, known as <strong><a href=https://www.bitdegree.org/"//crypto//learn//crypto-terms//what-is-whale/">whales, have caused a sell-off just below the $10,000 level. This demonstrated <strong>how the worth of the most prominent cryptocurrency in the world might drop in a matter of seconds.<\/strong><\/p>\n<p>Besides, it is possible that those whales then re-entered the market to purchase more cryptocurrency at a decreased value, which leads to massive gains.<\/p>\n<p>More importantly, dumping is probable when the price of a cryptocurrency frequently encounters an area of barrier.<\/p>\n<p>May of 2018, was when <a href=https://www.bitdegree.org/"//crypto//buy-bitcoin-btc/">Bitcoin saw a strong rising trend that propelled it beyond the crucial number of $10,000. It swung about the $10,100 level many times until hitting a strong barrier of rejection at $10,200.<\/p>\n<p>Several elements have impacted the outcomes of numerous cases across time. It is quite improbable that Bitcoin would <strong>halve,<\/strong> but if it does, the market will experience extreme <strong>volatility,<\/strong> which has traditionally been the major provocation for dumping.<\/p>","definition":"is a practice that emerges when the market is influenced by factors such as economic instability in global markets or in response to a specific news occurrence.","status":"published","meta_title":"What is Dumping? Definition & Meaning | Crypto Wiki","meta_description":"Dumping meaning: Dumping - is a practice that emerges when the market is influenced by factors such as economic instability in global markets or in response to a specific news occurrence.","meta_keywords":null,"author":{"id":1,"user_id":1,"created_at":"2023-05-03T14:30:55.000000Z","updated_at":"2023-05-11T07:18:20.000000Z","title":"Editor-In-Chief","slug":"aaron-s-editor-in-chief","description":"<p>Having completed a Master&rsquo;s degree on Economics, Politics &amp; Culture for the East Asia region, Aaron has written scientific papers with a comparative analysis of the differences between US&rsquo; Western and Japan&rsquo;s Collective forms of capitalism, 1945-2020.<\/p>\n<p>With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He&rsquo;s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.<\/p>\n<p>Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain &amp; Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.<\/p>\n<p>Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.<\/p>","user":{"id":1,"first_name":"Aaron","last_name":"S.","email":"aaron@bitdegree.org","email_sanitized":"aaron@bitdegree.org","email_verified_at":"2023-12-01T09:40:20.000000Z","must_verify_email":false,"is_registered_with_wallet":false,"status":"active","country":"LT","last_connected_ip":"88.119.132.125","image_id":2641,"referral_token":"05TMu2NysXOCn525","referred_by":null,"created_at":"2023-05-03T14:30:55.000000Z","updated_at":"2024-01-09T15:22:21.000000Z","full_name":"Aaron S."}}}" :chapter-list="[{"id":1,"title":"Blockchain","slug":"blockchain","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-blockchain.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/blockchain-101.jpg","rating":100,"sections":[{"chapter_id":1,"order":1,"slug":"what-is-blockchain","title":"What is the Blockchain?","status":"published","modified_content":null},{"chapter_id":1,"order":2,"slug":"decentralized-blockchain","title":"Anonymous & Decentralized Blockchains: The Cornerstone of Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":3,"slug":"blockchain-transaction","title":"What is a Blockchain Transaction in Crypto?","status":"published","modified_content":null},{"chapter_id":1,"order":4,"slug":"crypto-fees","title":"The Different Types of Crypto Fees Explained","status":"published","modified_content":null},{"chapter_id":1,"order":5,"slug":"what-is-bridging-in-crypto","title":"The Key Notion Behind the Concept of Bridging in Crypto","status":"published","modified_content":null},{"chapter_id":1,"order":6,"slug":"types-of-blockchains","title":"Different Types of Blockchains: What to Look Out For?","status":"published","modified_content":null}]},{"id":2,"title":"Cryptocurrencies","slug":"cryptocurrencies","updated":null,"chapter":"crypto\/assets\/crypto-book\/chapters\/learn-cryptocurrencies.jpg","chapter_simple":"crypto\/assets\/crypto-book\/chapters-simple\/cryptocurrencies-101.jpg","rating":100,"sections":[{"chapter_id":2,"order":1,"slug":"what-is-a-cryptocurrency","title":"What is a Cryptocurrency?","status":"published","modified_content":null},{"chapter_id":2,"order":2,"slug":"how-does-cryptocurrency-work","title":"How Does Cryptocurrency Work?","status":"published","modified_content":null},{"chapter_id":2,"order":3,"slug":"is-cryptocurrency-a-good-investment","title":"Is Cryptocurrency a Good Investment? 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