When a new coin is listed, the percentage increase displayed from the low of the first candle to the current price—like $VANA showing a 2400% rise—can be misleading. Many believe this means some buyers purchased it at $1 while others paid $25.70.
Here’s the truth:
When Binance lists a coin, three key prices are set before trading begins:
1️⃣ Opening Price
2️⃣ High of the Day
3️⃣ Low of the Day
Take #VANA as an example:
Low: $1 (usually derived from the ICO or launchpad price).
High: $35.80 (often arbitrary or pulled from external sources like CoinMarketCap).
Opening Price: Around $21.79 (the actual starting price for trading).
These prices are predetermined, and no one trades at the low or high prices. All trades happen near the opening price once the market opens.
The large percentage increase you see simply reflects the return made by ICO or seed investors, not what regular buyers achieve when trading begins.
Don’t let these figures impress you. Understanding how coin listings work is key to making smarter decisions.
Stay informed and trade wisely!
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