The drastic price fluctuations of some niche cryptocurrencies, such as tokens that soar and crash in a short time, are likely a combination of factors. While project fundamentals play a role, market manipulation and speculation often dominate. Pump - and - dump schemes by large holders can artificially inflate prices, followed by rapid sell - offs. Lack of regulatory oversight in some cases allows such manipulative practices, and the small market capitalization of these tokens makes them more vulnerable to such price - distorting activities.