Paragon (PRG) Coin Pumps and Dumps, Which is a Clear Indicator and Signal a Token is Failing
While it may sound counter intuitive at first, many crypto experts have time and again claimed that as and when a digital currency approaches its death, its price starts seemingly starts to soar for no rhyme or reason.
This is because when an altcoin’s liquidity and exchange volume becomes low, it immediately become susceptible to the whims of market manipulators who can make their prices skyrocket (so as to make one last push at making some tangible profits).
To further elucidate on my point, we will take into consideration the example of Paragon (PRG), a cryptocurrency whose price soared by a whopping 6,800% over the span of the last 24 hours. This is after the project had been dead for many months— with the US SEC even releasing a circulating telling the folks over at Paragon to refund investors who had participated in the company’s introductory token sale.
With that being said, PRG holders were nonetheless astonished by the above mentioned price increase since their holdings had effectively risen from $0.30 to an insane $10 (per token) within the span of less than half-a-day.
More On The Matter
While some investors were beginning to assume that Paragon had once again gained a new lease on life, it soon became all to clear that this was some sort of manipulatory ploy that was being implemented by nefarious third-party actors — since neither the SEC had let the project off the hook nor had Paragon announced any major partnership recently.
Instead, it now appears as though the project has fallen victim to a new P&D (Pump and Dump) scheme. To be even more specific, we can see that the PRG token has taken just $27,000 of trading volume on a single exchange (Yobit) to propel its value from less than half-a-dollar to around the double-digit dollar mark.
Pump And Dump Schemes Usually Point To Something Larger
Since the market boom of 2017, there have been countless projects like Paragon that have suffered a slow and painful death. Not only that, at the time of writing this article, there are many Proof of Work coins that too are in the process of dying quietly.
In this regard, Nic Carter, an established member of the global BTC community, published a blog post recently wherein he dissected and analyzed more than 15 crypto assets whose demise he had predicted many months earlier (in 2018).
Some of the projects that he had alluded to in his report included Verge and Bitcoin Gold— both of which fell victims to 51 percent attacks.
While Carter has time and again made it clear that it is “virtually impossible” for a cryptocurrency project to die completely, artificially resuscitating a digital asset has little to no value since the currency (in question) will most likely stabilize once again and then become worthless.