HedgeTrade’s HEDG token skyrockets 500% while investors wonder about a pump-and-dump ahead

The cryptocurrency analytical service Coinmarketcap reported abnormally strong growth of HedgeTrade (HEDG). According to the resource, the token catapulted by nearly 500% in a matter of hours, rising from $0.7 to $3.3. At the time of writing, HEDG is changing hands at $2, still nearly 200% higher from this time on Monday.

HEDG, Coinmarketcap data

However, there is an issue. Other sources do not confirm the price data reflected by Coinmarketcap. For example, CoinGecko shows quite the opposite picture: HEDG actually slipped from $0.7 to trade at $0.6, while its average daily trading volume hit $350,000 against an eye-popping $1.2 billion on Coinmarketcap.

HEDG, CoinGeko data

HEDG price discrepancies hint at pump-and-dump action

If we dive deeper, the most active exchange for HEDG is STEX, a centralized cryptocurrency exchange located in Estonia. In the past 24 hours, the platform processed $268,000 worth of HEDG trades. The second and the third places go to Indodax and Bittrex with $50,000 and $46,000 respectively. All three venues report HEDG prices at around $0.68.

It seems that the abnormal price has come from Bitcoin.com Exchange, where someone purchased HEDG for $1.99 recently. However, the trading volumes of the platform are negligible. 

Meanwhile, Twitter users report on extraordinarily high HEDG prices.

Several crypto bots also registered token's extreme price activity. For example, Crypto Stats Bot, with over 6,500 followers, included the coin in the previous hours' biggest gainers.

Automated crypto news, updates & predictions bots spotted unusual buying activity.

The price data discrepancies may look confusing to the traders and may be misleading for those who don't have a habit of double-checking prices against various sources. HedgeTrade may fall victim to a pump-and-dump scheme, meaning that traders should be extra careful while dealing with the token.