After ICO, the tokens sank in price. Why?

[Pleasuremodel]

As a rule, most blockchain- projects that have collected tens of millions of dollars for ICO, issue tokens on the exchange without real production growth.
What does it mean?

[1715474152]

1715474152

[AB de Royse777]

As a rule, most blockchain- projects that have collected tens of millions of dollars for ICO, issue tokens on the exchange without real production growth.
What does it mean?

Well, hype gone and the demand gone. If a token/coin does not have real value then they will fall. Out of the few thousands of crypto in coinmarketcap you will find 99% of them are useless. So do not expect much.

The same is going to happen with these IEO hype too.

[diazepam666]

Some worst projects also get the hype in the market and when it came to exchange we can understand the real demand over that coin. Please look after some cheap coins which does not having real product or anything. In that some whale investors use to put theri fund so little projects like that get the name egen they don't have anything.

[carlfebz2]

As a rule, most blockchain- projects that have collected tens of millions of dollars for ICO, issue tokens on the exchange without real production growth.
What does it mean?

Get used to it and this is how this market works.Only good projects will able to survive after that sudden dump in price because any coins that its being listed on an exchange do have that kind of normal route on slapping its price to the floor and die most of the time.Some might revive but only a few of numbers who do have actual potential for long term but the rest are just total garbage.

[jossiel]

When the price is going down, there's no other thing that you can think of but it's all about the dump. Investors of that token started to dump altogether and probably including the developers of it. Because they have had enough money from the ICO so it's time for them to rake profits.

Are you new to this kind of market? it has been done by those ICO creators many times. And you know what? after they do a "successful" project, they'll just jump to one another to have another ICO, it's just a cycle, they rinse and repeat.

[mindrust]

People always think their ICO will be the next bitcoin before they invest. After they invest the reality hits them in the head:

There are hundreds of those next big thing ICO's out there.

Once they realize how they fucked it up, they panic and try to get out as soon as possible.

This is just basic "pig" investor thinking. They always get slaughtered.

[NeuroticFish]

People always think their ICO will be the next bitcoin before they invest.

Yup. Most are driven by the hype, don't look that the projects, although they have a valid team, either have no usability at all, either "cover" a direction already covered by many other projects, either the project status is not as great as hyped (and may not really advance in the "next" months)... The reality is unveiled after the hype is over.
In some cases there's even a manipulation. Some traders use to buy ICO tokens after the ICO has ended, when the price is not artificially inflated anymore, or it's even lower than the actual worth.
Some big role may also have the inexperienced crypto investors that have no idea how to invest and have no patience at all; they'll see the price drop and they'll panic sell.

[johanesrobin]

ICO is only used as a means to enrich a group of people, I regret this and some ICOs disappear after reaching hardcap. It's very bad and it's time for everyone to realize that ICO isn't the best choice for investment.

[squatter]

It happens in the stock market all the time. Uber and Lyft were massively hyped IPOs, yet both were recently trading below their IPO price. Often times, company performance doesn't live up to the hype. This is especially true with ICO companies, who were often peddling vaporware and unsustainable business models. After the hype ends, the hangover comes.

[Baofeng]

It means that the project is just a hype, then investors get on-board trying to make money out it and when the tokens is listed on an exchange, they suddenly dump their tokens book there profits and go on the next hype train. So that's how most of the projects are now right now, although there's proof that a project might succeed in the future like BNB, but it's an exception, in my opinion.

[LogitechMouse]

Simple. Investors, bounty hunters and the team themselves will sell their coins to gain profit.

Who in the hell will hold their coins when you know already that when the token is listed on any exchange, it will always plummet. Law of supply and demand. Supply increases, price decreases and vice versa. That is what is happening on every ICO.

[EdenHazard]

This has become accustomed to occur after the ICO project successed to become a promising investment place in 2017. They (investor ICO) assumed that every money he invests will increase with a very large amount but they don't niticed to the function of the project itself for the future so that when the market crashes (which can happen at any time) the price of the project will decrease because there is nothing can make the project last long. And also the mindset of instant profit always approaches on their brains, so when the project is successfully listed on an exchange then they will sell all of these tokens without leaving one a bit and make the price drop dramatically.

[Batalo]

FOr me, if that is ICO is at the market, it is hard to gather traders. Campaigns and other advertising might not work at all so they have to influence some traders, after they have that much traders, the price would increase if they see if profitable enough.

[akamit]

As a rule, most blockchain- projects that have collected tens of millions of dollars for ICO, issue tokens on the exchange without real production growth.
What does it mean?

There could be many reasons for the price to go down after listing.
 - Don't have real product or service - ICO succeeded due to HYPE
 - Fake promises months after months - investors start to dump
 - owners dumping and so on.

And sometimes the project is good, but the promises they made come too late that investors/supporters lose their patience.

[harizen]

Not just because of hype.

In the first day of market listing, the tokens will test their foundation. The early phase is critical because that's where volume will be form. If no such thing as good price movement or let's say a decent volume that worth to put a shot during the early phase (for let's say a maximum of weeks to few months), expect investors will minimize their losses.

Exchanges where it got listed also plays a big role. Without a decent exchange,  surely no additional traders will test the waters for this tokens.

[Cootie]

As a rule, most blockchain- projects that have collected tens of millions of dollars for ICO, issue tokens on the exchange without real production growth.
What does it mean?

Well, hype gone and the demand gone. If a token/coin does not have real value then they will fall. Out of the few thousands of crypto in coinmarketcap you will find 99% of them are useless. So do not expect much.

The same is going to happen with these IEO hype too.

In my opinion, some tokens is used only during ICOs and after that, none. It has no real use at all, so who will get interested on buying it if it has no usage? Of course none. Once the holders knew that it is useless then they gonna sell it and this cause dump, lowering its value. This is assuming that the token is already listed.

[Kemarit]

That's how the market works, I mean yes they have raised tens of millions for ICO but at the back of our minds we all know that investors will simply dump it to get their profits. And with the number of ICO's/IEO's popping around, is so easy for investors to pull the pump-and-dump and then go on the next coins. I don't know what are the statistics, but I'm pretty sure that even a successful ICO can't withstand the dumping specially when it is listed on an exchange. Unless though they can really offer something different that can disrupt fields in medicine or pharmaceutical, it will be very difficult to maintain their ICO price.

[pealr12]

Some says bounty hunters dump thier tokens thats why the price sank, other  says its the investors that wants to have thier immediate profit. No matter what is the reason behind it, if you have trust and have faith on the project the coin will surely go up. All i know panic selling is the root why ico price are down.

[Thirdspace]

most blockchain- projects that have collected tens of millions of dollars for ICO, issue tokens on the exchange without real production growth.

no growth because they don't actually have anything to grow/develop
most ICOs are just like a hyip scheme collecting money without actual working projects
most investors are in it for quick profit when they sell it as soon as the coin/token gets into an exchange

otoh, an ICO for a well established business will likely to earn success and stay for a long time
a real business and a real use of its coin/token is what makes that coin/token to have real value

[Indamuck]

Most projects have no real development and they are just hype.  Developers are in it for a quick profit and as soon as the first pump or exchange listing happens they are exiting.  I don't want to lump every project in the same boat because there are some honest devs out there though.