Unfortunately this is not a scenario from their upcoming online space strategy game, this one was on Bittrex, and not the first from what I can gather…
Yesterday I noticed there was an over 40% spread for BTC-HYPER (Hyper) and the price had gone very low, under 8200, well under the 10K floor I identified last week. Upon analysis of the market history I found a series of small incremental sell orders that ramped the price down from about 14K to 8100 along with a few larger conditional and panic sells. All those orders came in at 12:56 and it wasn’t until 13:17 that someone stepped in and cleaned up the low sells then I was able to pick up a few panic sells myself at 13:26 and later bought a little more at the ask price to try to make the market look normal again.
Who did this and why? It doesn’t look like the attackers used the attack to get cheap HYPER. I guess HyperCrypto has enemies and while it seems like all these alt coins have their fair share of haters it also seems like David Seaman‘s attempts to promote (not pump) this coin have annoyed some, maybe they don’t like the competition.
And where were the Hyper team and David Seaman during all this? It was Labor Day but I’d have some alert bot setup to let me know when things like this happen. Or maybe they’re responsible for the buy back at 13:17? No comment since either. I suppose they feel like it would be counter productive to even acknowledge this kind of attack, that and the fact that many coins like Hyper are vulnerable when there just aren’t enough buy orders with enough volume to prevent an attack or spontaneous collapse like this.
I’m not dumping my HYPER yet, I love watching my wallet balance increase daily with their proof of stake mining. I sure hope they come out with some Hyper coin games soon though, even just retrofitting existing games. It’s cool that they’ve already revived the classic game “Zandagort” (I know nothing about computer games) but they announced on July 24 that the ETA for integrating Hyper Coin into it was just 2 weeks away. It seems like you have to multiply any promised time line for altcoin implementations by a factor of 3 or more
In any case this has been an incredible learning experience for a noob trader like me to see how markets are manipulated and how I can even manipulate them myself though I also see that it takes constant vigilance to keep propping up a coin like this. Looking at other coins it seems that there are bots in place to help stabilize them, though I’m still not 100% sure about what I’m seeing. I don’t know if you would call it disingenuous or just a wise move to give your team some breathing room, you can’t have spectacular new announcements every week just to keep interest alive.
Disclaimer: I’m not an authority on any of this, I’ve just looked into certain coins and watched the markets closely for the last few days.