What Is a Buy Wall?
A buy wall is a term used in the cryptocurrency market to describe an area of large buy orders that have been placed on a particular asset. This creates a “wall” of buyers, which can be seen as an indicator of strong demand for the asset and potential upward price movement. Buy walls are often created by investors who believe that the current price is undervalued and want to take advantage of it before others do. They will place large orders at or near the current market rate, hoping to drive up prices when their order gets filled.
Buy walls can also be used strategically by traders looking to manipulate markets. By placing large buy orders they can create artificial demand for an asset, driving up its price temporarily until other traders start buying into it as well. This type of manipulation is illegal in many countries but still occurs frequently due to lack of regulation in some areas. It’s important for investors to understand how these tactics work so they don’t get caught out by them when trading cryptocurrencies or any other assets online.