🚀 New Coin Launch: Unveiling the Truth Behind the Big Bull Candle 🚀

When you hear about a new coin launching, with its price skyrocketing from $1 to a 2450% increase, you might think that early investors who bought at $1 made a huge profit. But in reality, it’s not that simple.

When a new coin launches, trading platforms like Binance need to set three price points:

1. Opening Price

2. Highest Price of the Day

3. Lowest Price of the Day

Taking VANA as an example, its lowest price was set at $1, while the highest price of the first candlestick reached $24.78, and the opening price was around $21. These prices are usually based on the coin's ICO price or the issuance platform price, and the highest price may be set randomly or referenced from prices on CoinMarketCap (if the coin is already traded on other exchanges). Sometimes, these prices are arbitrarily set based on the market value at the time of issuance.

The percentage increase you see is actually based on the difference between the ICO or issuance platform price and the current market price. This reflects the potential returns that ICO or seed investors might receive.

Importantly, these prices are set before trading starts, so in reality, no one can buy in at $1 or $24.78 when trading begins. Most people buy at prices after trading has started.

🔍 The Truth Revealed

Don’t be fooled by these numbers. In reality, when a new coin first launches, it’s very difficult to buy at $1. By the time you see the price, it may have already risen by around 2450%. So, the next time you see such a big bull candle, remember to delve into the mechanisms behind it and don’t be misled by the superficial percentage increase.