One of the reasons behind the cryptocurrecny projects is to convince investors into storing their tokens for the future. long term investments. thereby holding the tokens and avoid trading. currently, trading platforms are engaging into trading competitions apparently to promote their platform and also the tokens as well. Are their no effects of these to the community and the project developers?
Both are doing for on their own benefits. Moreover, you cannot predict a trading competition is disturbing the plans of projects from not storing/holding, like when 50% (for example, most MN based coins are having more than 50% locked) of circulation into holding then why not another 10% to 25% may fight for deciding the worth of it.
Still, we cannot say a volume based trading competition involves only one asset or multiple assets. For example, when a trader is into competition and he is active with BTC/USDT trading means, I do not think that will influence BTC prices as buying and selling may happen and we cannot predict a competition will enforce its trading into one direction.