Huge price spikes in the cryptocurrency world are nothing unusual. In fact, they are something to be expected, due to the nature of crpytocurrency. ZCash’s characteristics – anonymity, privacy, and the ease of purchase, make it an easy target. Anyone with sufficient funds can manipulate the price of a coin, which makes the market as a whole extremely volatile. Many attempts have been taken to fight with price manipulation, but it seems like it’s a lost fight.
ZCash is another victim to market price manipulation – the coin just gained 68% of it’s value in a single day. Reasons are unknown, but some Reddit users speculate that it could be due to the coins being accepted to a new exchange. Thus, Bitthumb could be the one responsible, in addition to money whales pumping the currency in great amounts.
The ZCash Price Quandary
At the moment of writing, the ZCash price is $313. As I’ve written in another article describing the rising ZCash price, the phenomenon could be a pump and dump strategy. This works as follows: someone with a great amount of money, measured in millions of dollars, accumulates a stock or a cryptocurrency in this case, then buys as much of the asset as possible in order to get the price up. In the right moment, the asset is sold for an enormous profit.