New Coin Launch: The Truth Behind the Big Bull Candle, Can You Really Make Money?
I've heard that the price of the new coin skyrocketed by 2450% from $1. Do you think early investors made a fortune? Hold on, the truth is not that simple.
When a trading platform launches a new coin, it usually sets three key price levels:
1. Lowest Price: Typically refers to the issuance price from the ICO or other exchanges, but you can hardly buy it.
2. Opening Price: The actual price when trading starts, such as approximately $21 for VANA.
3. Highest Price: The peak price of the day, for example, $24.78 for VANA.
These prices are not numbers you can buy at any time; they are reference data set by the platform based on issuance price, market cap, or even randomly. The so-called 'price increase' reflects the returns of ICO or seed round investors, but it has nothing to do with your actual buying and selling.
Truth Revealed
When you see a big bull candle and astonishing price increases, stay calm! By the time the price is available for you to trade, it has already skyrocketed. Taking VANA as an example, the increase from $1 to $24.78 seems attractive, but this is just a comparison between the early price and market pricing, and the vast majority can only buy in after the increase.
So, don't be misled by superficial numbers; understanding the underlying rules will help you avoid blindly chasing prices!
