MINDOL (MIN) cryptocurrency surges more than 20 times in 2 months

A few weeks ago, some investors might not have even heard of MINDOL, the cryptocurrency designed to support content creation for manga, anime, games, and anything related to the Japanese 'Otaku' subculture. But they probably took notice by now as the token’s price rocketed upward until it reached an all-time high of $4.93 on December 20.

As a result, its market cap also rose dizzyingly as well and reached $937 million briefly based on data from CoinMarketCap. Now, that’s not a bad performance at all for a cryptocurrency that traded for only $0.166110 per token last October 25.

The token’s movement is indeed crazy. Percentage-wise, it meant that MINDOL gained around 2,870 percent within a two-month period.

But some market watchers believe that it’s probably too good to be true. One reason is that most of its trading volume these past months can be traced to a relatively unknown exchange that has a less than stellar reputation.

“As it stands, the vast majority of MINDOL trade volume occurs on a relatively unknown exchange known as Coinall—a platform that has been accused of faking its trade volume,” Decrypt wrote.

Another potential red flag is that there seems to be no logical reason for the sudden surge in the cryptocurrency’s trading volume. Thus, a more plausible explanation is that the token might have been artificially propped up.

“Beyond this, since the price action appears to be completely unrelated to any recent developments or improving project fundamentals—and the trading volume has barely increased—it suggests that the price is being artificially boosted,” the publication added.

As a caution to would-be investors, there have been cases that a coin’s value unexpected surged upward really fast only to see it fall back down just as fast. One such case is Maximine which rose to the top 40 coins ranking last March. However, it’s now down to the 352nd spot.

Indeed, it appears that MINDOL is already starting its descent. Since its all-time high last December 20, the token’s price decline by $1.6 and is trading at $3.33 per token as of December 27 or a 32 percent decline in just one week.