#MarketNewHype
$VANA
There is a big misconception people have and I am going to clear your doubts today.
when a new coin is launched and it shows a percentage based on the low of that candle and the price the market is currently at, like $VANA is up 2400% right now.
The misconception is that people think there are some people who bought at $1 and some at $25.7
When Binance adds a new coin, they have to mention three prices before trading starts.
opening price
high of the day
low of the day
for example#VANAlow is $1 and the high of the first candle was $25.70 and the opening price was around $21.79
the low is mostly based on the ico price of that coin or the launchpad price and the highs are random or based on CMC if it is already trading on other exchanges. Sometimes both can be just random numbers depending on the market cap at the time of launch.
So the percentage you see on the screen is the difference between the ico/launchpad price and the current market price. it is the percentage that the investors of the ico or Seed made.
as I said they have to add 3 prices before launching, there is no way someone bought at $1 or $25.70 when trading started.
Everyone buys at the price at which trading starts.
Don't be impressed or surprised by these numbers, know how these things work.
It's important.
Stay informed
