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Research: Ripple is characterized by excessive hype on Twitter

The TIE analysts concluded that the Ripple XRP token stands out among other highly liquid crypto assets by excessive hype on the social network Twitter. 1 / We investigated which cryptocurrencies are the most and least overhyped on crypto Twitter. In other words, which coins are being manipulated the most, which have the most bot accounts tweeting about them, […]

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The TIE analysts concluded that the Ripple XRP token stands out among other highly liquid crypto assets by excessive hype on the social network Twitter.

“We studied around which coins the largest and smallest hype on Twitter. In other words, which coins are most susceptible to manipulation, which are most often tweeted from bot accounts, and which are characterized by excessively bloated activity. "

To do this, The TIE created a metric "HYIP to activity ratio". It represents the number of tweets per $ 1 million of the trading volume of a particular coin. It turned out that among the 450 crypto assets studied, an average of 1 tweet per $ 1 million of volume.

The researchers concluded that Tether and the EOS, Ethereum Classic, Cosmos, and NEO crypto assets are least affected by the hype on Twitter.

“Tether is a stablecoin widely used in crypto trading. Therefore, it is logical that the coin has a relatively small number of discussions, given its trading volume, ” analysts explain.

On the other hand, The TIE notes that some coins have an “astronomical number of tweets” in relation to trading activity. Experts attributed these assets to TokenPay, Electroneum, Dragonchain, Telcoin and DigiByte.

“For comparison, the ratio of hype to activity at TokenPay is 33,000,000% higher than that of Tether”

In general, experts came to the conclusion that the largest cryptocurrencies have the most healthy ratio of hype to activity:

However, against the background of Bitcoin, Ethereum, Bitcoin Cash and Litecoin, the third largest crypto asset XRP is significantly distinguished. On the other hand, the brainchild of Ripple is not so hyped hype compared to other, less liquid digital assets.

Researchers note that often crypto assets surrounded by hype have a huge number of Twitter followers, which projects buy to create the illusion of mass involvement. For example, the Electroneum project (102nd place in the CoinMarketCap rating) has 127 thousand Twitter followers, while the extremely popular BitMEX exchange has only 65 thousand.

The TIE experts did not forget to mention the founder of TRON and Twitter patron Justin San, who, for example, has 6 million likes on Facebook. At the same time, only 187 thousand people are following the largest American company Coinbase with 30 million users in this social network.

Researchers concluded that the crypto industry is still the Wild West. Many projects resort to manipulative practices that mislead many inexperienced market participants.

“Although this metric is imperfect, we think it is a good tool for massively identifying“ white crows, ” The TIE researchers concluded by attaching a Google spreadsheet with a list of assets with the highest hype to the tweet.

Earlier, The TIE came to the conclusion that 87% of the total trading volume on 100 trading floors does not inspire confidence.

Also recall, recently the legendary trader Peter Brandt accused Ripple of market manipulation and expressed the opinion that the price of XRP will soon fall by another 20%.

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