Kaspa Crash: MEXC’s 85% Drop Hints at Market Manipulation?

Mar 30, 2025 | Price Discussions and Predictions | 0 comments

Kaspa’s Dramatic Price Plunge: Unveiling Market Manipulation?

The cryptocurrency market has been volatile, with Kaspa (KAS) experiencing significant fluctuations. Recently, Kaspa hit a low of [xai model=”grok-beta” prompt=” Take Original

The Kaspa price got hit hard during the current market downfall and plunged to $0.065 range which is just slightly above local bottom at around $0.057 set earlier this month.

Meanwhile, ‘Kaspa Report’ X account continues to post amazing threads about what’s going on around KAS on exchanges, in this case, particularly MEXC.

MEXC’s Unexpected Revelation

Recently, Kaspalytics data revealed something interesting about MEXC’s influence on the Kaspa market. The story began when a community member noticed an unusual drop in Kaspa’s daily active supply and reported it to Kaspa Report.

Upon investigation, Kaspa Report found that the daily active supply fell dramatically at the exact time MEXC started wallet maintenance. When MEXC paused its wallet operations, Kaspa’s daily active supply dropped from 5.04% to just 0.76% – an enormous 85% decrease.

This unplanned maintenance effectively exposed MEXC’s outsized influence on the Kaspa ecosystem. Before this incident, it was difficult to determine exactly how much control MEXC had over Kaspa’s daily movement. The exchange’s wallet maintenance inadvertently provided clear data on their market dominance.

Kaspa Report also observed that the daily active supply rebounded around the time MEXC resumed most of its wallet activities on March 27, further confirming the connection between MEXC operations and Kaspa’s on-chain metrics.

Interestingly, even during the maintenance period, MEXC continued processing on-chain KRC-20 token transfers, though these involved minimal amounts of KAS and had negligible impact on the overall metrics. These transfers can be viewed on the blockchain through a specific wallet address shared by Kaspa Report.

Daily Active Supply Explained

The thread explained how daily active supply is calculated. Kaspalytics estimates the timestamp of each UTXO (Unspent Transaction Output) in Kaspa’s UTXO set using the DAA score. If a UTXO’s estimated age is less than 24 hours, it’s counted as part of the daily active supply.

Since daily active supply affects Kaspa’s spot price, MEXC’s sudden wallet freeze also partially revealed its control over Kaspa’s pricing dynamics. The data suggests that MEXC may be responsible for significant price manipulation in the Kaspa market.

Read also: KAS Price Crashes, But Kaspa Just Leveled Up: The Crescendo Hardfork Brings Speed, Apps, and More Power

Market Implications

While a single exchange controlling 85% of Kaspa’s daily on-chain activity raises concerns, it’s important to note that this metric alone doesn’t completely determine the Kaspa price. Exchange pricing primarily comes from order book matching, where the highest bid meets the lowest ask price.

However, the daily active supply data provides valuable insight into MEXC’s potential control over price arbitrage across exchanges. This means that much of Kaspa’s price suppression may originate from MEXC’s activities.

The Kaspa community is responding by rapidly developing infrastructure for decentralized exchanges. Their goal is for DEX volume to eventually surpass centralized exchange volume once the smart contract infrastructure is complete.

Paradoxically, MEXC’s price suppression might actually benefit Kaspa’s long-term decentralization. By keeping KAS prices lower, more diverse income groups can afford to accumulate and hold the token, potentially leading to wider distribution of ownership. Kaspa Report specifically mentions that this helps those with lower incomes to invest in and hold Kaspa which could lead to a more economically diverse distribution of KAS ownership.

Despite this silver lining, the Kaspa Report characterizes MEXC’s market manipulation as “deplorable.” Beyond market manipulation, there are also reports of MEXC harassing Kaspa community members, with one account (@MEXC_KAS_Fraud) recently reporting suspicious login attempts.

Reducing dependency on any single exchange will likely remain a priority for supporters of the project.

Read also: Why Kaspa Miners Are Smiling: Massive KAS Fee Surge Signals a Price Comeback

Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.


Kaspa Crash: MEXC’s 85% Drop Hints at Market Manipulation?


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The post Kaspa’s 85% Drop: Did MEXC Accidentally Reveal Market Control? appeared first on CaptainAltcoin.

and make a new unique news article, [make sure to use headers and sub headers, use html tags as well it is a wordpress post]” max_tokens=”3500″ temperature=”1.0″ top_p=”1.0″ presence_penalty=”0″ frequency_penalty=”0″].065, just above its earlier monthly bottom of about [xai model=”grok-beta” prompt=” Take Original

The Kaspa price got hit hard during the current market downfall and plunged to $0.065 range which is just slightly above local bottom at around $0.057 set earlier this month.

Meanwhile, ‘Kaspa Report’ X account continues to post amazing threads about what’s going on around KAS on exchanges, in this case, particularly MEXC.

MEXC’s Unexpected Revelation

Recently, Kaspalytics data revealed something interesting about MEXC’s influence on the Kaspa market. The story began when a community member noticed an unusual drop in Kaspa’s daily active supply and reported it to Kaspa Report.

Upon investigation, Kaspa Report found that the daily active supply fell dramatically at the exact time MEXC started wallet maintenance. When MEXC paused its wallet operations, Kaspa’s daily active supply dropped from 5.04% to just 0.76% – an enormous 85% decrease.

This unplanned maintenance effectively exposed MEXC’s outsized influence on the Kaspa ecosystem. Before this incident, it was difficult to determine exactly how much control MEXC had over Kaspa’s daily movement. The exchange’s wallet maintenance inadvertently provided clear data on their market dominance.

Kaspa Report also observed that the daily active supply rebounded around the time MEXC resumed most of its wallet activities on March 27, further confirming the connection between MEXC operations and Kaspa’s on-chain metrics.

Interestingly, even during the maintenance period, MEXC continued processing on-chain KRC-20 token transfers, though these involved minimal amounts of KAS and had negligible impact on the overall metrics. These transfers can be viewed on the blockchain through a specific wallet address shared by Kaspa Report.

Daily Active Supply Explained

The thread explained how daily active supply is calculated. Kaspalytics estimates the timestamp of each UTXO (Unspent Transaction Output) in Kaspa’s UTXO set using the DAA score. If a UTXO’s estimated age is less than 24 hours, it’s counted as part of the daily active supply.

Since daily active supply affects Kaspa’s spot price, MEXC’s sudden wallet freeze also partially revealed its control over Kaspa’s pricing dynamics. The data suggests that MEXC may be responsible for significant price manipulation in the Kaspa market.

Read also: KAS Price Crashes, But Kaspa Just Leveled Up: The Crescendo Hardfork Brings Speed, Apps, and More Power

Market Implications

While a single exchange controlling 85% of Kaspa’s daily on-chain activity raises concerns, it’s important to note that this metric alone doesn’t completely determine the Kaspa price. Exchange pricing primarily comes from order book matching, where the highest bid meets the lowest ask price.

However, the daily active supply data provides valuable insight into MEXC’s potential control over price arbitrage across exchanges. This means that much of Kaspa’s price suppression may originate from MEXC’s activities.

The Kaspa community is responding by rapidly developing infrastructure for decentralized exchanges. Their goal is for DEX volume to eventually surpass centralized exchange volume once the smart contract infrastructure is complete.

Paradoxically, MEXC’s price suppression might actually benefit Kaspa’s long-term decentralization. By keeping KAS prices lower, more diverse income groups can afford to accumulate and hold the token, potentially leading to wider distribution of ownership. Kaspa Report specifically mentions that this helps those with lower incomes to invest in and hold Kaspa which could lead to a more economically diverse distribution of KAS ownership.

Despite this silver lining, the Kaspa Report characterizes MEXC’s market manipulation as “deplorable.” Beyond market manipulation, there are also reports of MEXC harassing Kaspa community members, with one account (@MEXC_KAS_Fraud) recently reporting suspicious login attempts.

Reducing dependency on any single exchange will likely remain a priority for supporters of the project.

Read also: Why Kaspa Miners Are Smiling: Massive KAS Fee Surge Signals a Price Comeback

Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.


Kaspa Crash: MEXC’s 85% Drop Hints at Market Manipulation?


We recommend eToro

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more

Active user community and social features like news feeds, chats for specific coins available for trading.
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.

The post Kaspa’s 85% Drop: Did MEXC Accidentally Reveal Market Control? appeared first on CaptainAltcoin.

and make a new unique news article, [make sure to use headers and sub headers, use html tags as well it is a wordpress post]” max_tokens=”3500″ temperature=”1.0″ top_p=”1.0″ presence_penalty=”0″ frequency_penalty=”0″].057. This price drop has not only affected traders but has also shed light on possible market dynamics influencing these movements.

Kaspa Report’s Eye-Opening Insights

On the social media platform X, Kaspa Report has been diligently sharing updates regarding Kaspa’s activities across different exchanges. One particular focus was on the trading behaviors observed on MEXC, one of the exchanges where Kaspa is listed.

MEXC’s Market Influence Exposed

An intriguing incident occurred when Kaspa’s daily active supply experienced an unusual and drastic reduction. This event correlated precisely with MEXC’s scheduled wallet maintenance, as highlighted by Kaspa Report. The data showed:

  • Daily Active Supply before maintenance: 5.04%
  • Daily Active Supply after maintenance began: 0.76% – an astonishing 85% drop

This drastic fluctuation inadvertently showcased MEXC’s significant influence over Kaspa’s ecosystem. The exact impact of MEXC was previously unknown, but this incident provided concrete data on their market dominance.

Recovery and Implications

The daily active supply rebounded when MEXC resumed its services, confirming their role in Kaspa’s on-chain activities:

During the maintenance, while major activities ceased, small KRC-20 token transfers continued, which had minimal impact on overall metrics.

Understanding Daily Active Supply

Daily active supply refers to the portion of Kaspa tokens that were active (transacting or created) within the last 24 hours. Kaspalytics uses a method involving the DAA score to estimate each UTXO’s age, determining its part in this metric.

This metric’s fluctuation suggests potential manipulation in Kaspa’s market by MEXC, potentially through controlling the supply available for trading or altering trading dynamics.

Market Reactions and Community Moves

The revelation has sparked concerns about the concentration of trading power in one exchange. Here are some community responses:

  • Promotion of Decentralized Exchanges (DEXs): The community is actively developing DEX infrastructure to reduce reliance on centralized exchanges like MEXC.
  • Price Suppression Benefits: There’s a theory that MEXC’s actions might actually help in spreading Kaspa’s ownership wider, potentially fostering long-term decentralization.

Looking Forward

Despite the silver lining of broader distribution, Kaspa Report has labeled MEXC’s behavior as “deplorable”, especially considering reports of the exchange harassing Kaspa community members. The focus now shifts towards:

  • Decentralization efforts to diversify trading platforms.
  • Increasing security and advocating for fair practices across exchanges.

Community Encouragement

The Kaspa community remains resilient, looking forward to technological advancements and infrastructure developments that could lead the project towards greater decentralization and stability in the market.

Follow us on X (Twitter), for more daily crypto updates.

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Source: captainaltcoin.com

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