LOOM Network’s Astonishing Surge Raises Eyebrows Amidst Market Uncertainty

In a remarkable turn of events, Loom Network (LOOM) has soared its highest market value in over five years, defying the bear market trend and leaving investors astounded. Over the past month, LOOM, a cryptocurrency languishing in relative obscurity, has experienced an explosive 746% surge. 

Remarkably, on the 15th of October, LOOM even momentarily outshone Bitcoin (BTC) in terms of trading activity, as noted by on-chain analyst Maartunn in his X post. The unexpected surge in LOOM’s value prompted speculations about the cryptocurrency’s meteoric rise and potential market manipulation.

Loom Network is a layer-2 scaling solution that was established in September 2018. It uses a delegated proof-of-stake (PoS) mechanism and supports Ethereum (ETH), Binance Chain (BNB), and Tron (TRX). The network is secured, and decentralized applications (dApps) are hosted using the native token, LOOM. LOOM is an ERC-20 token used to cover the hosting fees for dApps.

Surprisingly, Loom Network has been relatively dormant in recent years, with no significant developments to its ecosystem, even during the cryptocurrency bull market in 2021. Social media activity on the project’s official page offered no insights into new features or technological advancements, leaving market observers to wonder about the catalysts behind LOOM’s recent surge.

Allegations of market manipulation have been raised concerning LOOM’s recent surge. While some may attribute this to market forces alone, crypto trader and analyst TheWignus has suggested that there may have been artificial inflation in the prices of certain cryptocurrencies, including LOOM. However, concrete evidence has yet to be provided to substantiate these claims.

Market manipulation schemes, such as pump-and-dumps, are not unique to the world of cryptocurrencies but have also been seen in traditional financial markets. Such schemes involve artificially inflating an asset’s price by disseminating positive news, enticing unsuspecting investors, only for the orchestrators to sell their holdings at a profit, causing the asset’s value to plummet and leaving new investors with substantial losses.

LOOM is trading at $0.3775, with a noteworthy 24-hour trading volume of $848,004,073.34. It mirrors a 3.91% surge in price within the past day and an impressive 119.95% surge over the previous week.

In light of these developments, traders have been cautioned to carefully approach soaring assets, like LOOM, and conduct thorough research (DYOR) before making investment decisions. The cryptocurrency market remains volatile and unpredictable, where due diligence is essential to navigate successfully.