Clearing Up a Common Misconception About New Coin Launches 🚨
When a new coin launches, you’ll often see percentage increases like $VANA up 2400%, based on the low of the first candle and the current price. Many people mistakenly believe some bought at $1 and others at $25.70.
Here’s the truth:
When Binance lists a new coin, three prices are set before trading begins:
1️⃣ Opening Price
2️⃣ High of the Day
3️⃣ Low of the Day
📊 For example:
Low: $1 (based on ICO/launchpad price)
High: $25.70 (can be arbitrary or based on other exchanges like CoinMarketCap)
Opening Price: ~$21.79 (actual starting point for trading)
🧠 Key Point:
No one buys at the $1 low or $25.70 high. Trading starts at the opening price, and the percentage increase reflects the difference between the ICO/launchpad price and the current market price.
These numbers are often misunderstood. Don’t let them impress you—understand how new coin launches actually work. Stay informed, trade smart!
