Dumping

Dumping refers to the act of selling a large quantity of a cryptocurrency in a short period, often resulting in a significant drop in its price. This strategy is typically employed by large holders or whales to manipulate the market for their own gain.

Example:

In January 2018, Bitcoin experienced a significant dumping event when a large sell-off of the cryptocurrency occurred, causing its price to plummet by over 50% in a matter of weeks. This dumping was attributed to various factors, including regulatory concerns and market manipulation.

Case:

During the infamous "Black Thursday" event in March 2020, the cryptocurrency market saw a massive dumping of various digital assets, including Bitcoin and Ethereum. This dump was triggered by panic selling amid the COVID-19 pandemic and the subsequent global economic uncertainty. The sudden influx of sell orders overwhelmed the market, leading to a sharp decline in prices across the board.