Some of us are pouring in money into cryptos in hopes of making a quick profit. However, not all is fair in the world of crypto, and some of the biggest players in the market are known as "whales". These whales are individuals or entities that hold a large number of cryptos and have the power to manipulate the market.

Bitcoin, Ethereum, and other altcoins have all experienced significant levels of market manipulation by whales. Bitcoin is the most well-known crypto and used to be the most manipulated by whales... According to a study conducted by the University of Texas, Tether (USDT), the well-known stablecoin, was used to artificially inflate the price of Bitcoin in 2017. The study found that every time the price of Bitcoin dropped, a large amount of Tether was created and used to buy Bitcoin, which then caused the price to rise.

Ethereum was also the victim of market manipulation by whales when it was a young crypto. In 2017, a single entity was found to have caused the price of Ethereum to drop from $317 to $0.10 in a matter of seconds. This was achieved by placing a large sell order, which triggered a chain reaction of automated sell orders, causing the price to plummet.

However, altcoins, which are cryptocurrencies other than Bitcoin and Ethereum, are now the most susceptible to market manipulation by whales. In fact, a study conducted by the blockchain research firm, Chainalysis, found that less popular altcoins were more likely to be manipulated than Bitcoin or Ethereum. The study also found that some altcoins had an average of 50% of their circulating supply held by just 20 wallets, indicating a high level of concentration among whales.

Overall, market manipulation by whales is a significant issue in the crypto market, and investors need to be aware of the risks involved. While Bitcoin and Ethereum have both been manipulated by whales in the past, it is the less popular altcoins that are most vulnerable to manipulation.

Disclaimer: this article does not contain any financial advice. The information is provided for general informational and educational purposes only.

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