Why some crypto project pump and others dump right from launch day

Crypto projects can experience various price movements upon launch due to several factors:

1. Hype and Speculation: Projects with significant marketing, partnerships, or perceived potential may attract a lot of attention and investment leading up to their launch, causing a pump. Conversely, if the project fails to meet expectations or faces negative news, it can lead to a dump.

2. Tokenomics: The distribution model of the project's tokens can impact price movements. If there's a limited supply and high demand, prices can surge initially. Conversely, if there's a large initial supply or tokens are heavily concentrated among a few holders, it may lead to dumping.

3. Market Sentiment: Overall market sentiment and trends can influence a project's launch. During bullish periods, even mediocre projects may see initial pumps, while during bearish periods, projects may struggle to maintain value.

4. Manipulation: In the crypto space, manipulation is not uncommon. Whales or coordinated groups may artificially inflate prices before dumping their holdings for a profit.

5. Product Quality and Adoption: Projects with strong fundamentals, a clear use case, and a solid development team may see sustained growth after launch. Conversely, if the project lacks substance or fails to attract users, it may face a dump.

6. Regulatory Concerns: Regulatory uncertainty or actions can significantly impact a project's price upon launch. Positive regulatory developments may lead to pumps, while negative news could result in dumps.

These factors, among others, contribute to the volatility and unpredictability often observed in the crypto markets, especially around project launches. Investors should conduct thorough research and exercise caution when participating in such events.

$MANTA $DYM $BNB