As you guys know, there was a Matic token swap to Polygon on Binance and other exchanges. Yesterday, Polygon got listed again on Binance but there was a sudden, unusual behavior. Matic's price was nearly 0.39 USD and someone paid up to 1 USD per token and then the price went down to normal price again.
This isn't something new of course, I have seen it many times but I don't really understand why such spikes happen. Why would someone pay $1 on Matic when he or she could buy tons of it for only $0.39?
Hmm, this is not one of the rare events it's quite usual, whenever a coin gets listed a battle between the buyers and sellers gets started due to high volume and liquidity, sot hat the reason such huge spikes appear, in more than 90% of coins you can see such spikes and even in more.
If it is only concerned with spikes, not with the initial ones there can be several reasons, Platform Manipulation, Whale activity, short-term squeezing, and Events boost. But all of this happens with the change in volume and liquidity of any particular coin.