Market Marker Service | IZICHAIN - The global blockchain platform for capital connection

What is Market Marker?

Market marker is an activity in which a trader simultaneously provides liquidity to both buyers and sellers in the financial market.

Liquidity is the extent to which an asset can be bought or sold quickly without significantly affecting its price stability.

Market makers can create a market by setting prices to buy and sell an asset. In this way, the market maker (or liquidity provider) acts as the final buyer and seller, where there are no other buyers or sellers, thus providing liquidity.

Why do you need Marker?

Market makers allow financial market to be more efficient because they reduce price volatility and support to know the best price.

Here's how it works:
The difference of assets are due to the differences in bid prices. The low liquidity market gets large spread in their buying order. The gap of spread is directly effect on trading market, the tighter spread always gets more transactions. The market makers make tight market by narrow the spreads.

Market Markers Function

Chart

Reasons:

When the chart of prices has no volatility in a long period of time, it is counted a dead project.
When the candlestick chart of projects has no change in a period of 5 minutes, 15 minutes, 30 minutes, 60 minutes, it is assessed that the project has no regular transactions.
When candlestick chart runs steadily with no increase or decrease or large fluctuations, it is counted a bot intervention.

Solutions:

Create a nice candlestick chart and follow the principles of technical analysis.
Draw up and down charts according to the actual situation based on market fluctuations.
Make natural trades between MM accounts, so that the project chart comes alive and it catches the attention of the community as well as new traders.

Market Markers Function

Set orders, sell walls and buy walls

Reasons:

Normally, new projects on the market haven’t got transactions, so there is no orders on buy walls and sell walls.
The large differences between the buy walls and the sell walls, for example, most projects that do not have activities to make markets have more than 5% difference, it means the trader lose 5% for the spread + exchange fees.
When the spread of buying and selling are too large, it makes the difference of the price in a long time, and leads to price domination, then the token will be counted as a controlled price or fake.
Projects with many selling orders but no buying order, it leads traders decide to make the selling orders lower.

Solutions:

Create the first buy wall and sell wall when a new project goes on the exchange for the first time.
Automatically check the buy and sell walls to avoid a spread of more than 5% to place a small sell order accordingly.
Automatically match buy or sell orders with small value to ensure uninterrupted trading time.

Market Markers Function

Trading volume and liquidity

Reasons:

The trading volume is too low or no trade.
The average trading volume does not meet the requirements of the exchange or is listed on coinmarketc.com coingecko.com.
The history of the time of matching orders are too different.
Lack of trading volume means low levels of interest from traders and the community. Most of these projects are considered dead and this often results in the cancellation of them from exchanges.

Solutions:

Increase the project's average trading volume, increase asset liquidity and attract the attention of third parties in the market.
Guaranteed continuous trading with random time matching in price and volume.
Control and push to get more selling or buying orders.

Market Markers Function

Reasons of pulling down prices

First of all, we need to find out why prices fall. We then need to eliminate the causes and occasionally push your prices. It ensures strong and sustained growth.

Low liquidity and large difference.
Many selling orders.
Not listed on the price tracking sites such as coinmarketcap, coingecko, livecoinwatch ...
Not yet listed on the news and events related to the project.
Low community activities: Telegram, Twitter, Facebook ...

Implementation process

Seq	Item	Period
1	Sign an MM contract and payment	1 day
2	Provide trading pair, MM accounts	1 day
3	Integrate with the exchange	2 day
4	For initial technical setup, the client provides the fund to the account including the number (BTC, ETH, USDT ...) in the corresponding pair	1 day
5	Test and check adjustments	3 day