Why price down after listing in exchanges

[pajak666]

a) yea, these coins have no value which leads us to:
b) everyone dumps them as soon as possible
as for b) this is not only people who got them by airdrops but mainly founders and also ICO participants/bounty winners which just look to dump it and move on to another project which will give them some pre calculated $ value.

[1715202395]

1715202395

[1715202395]

1715202395

[Leah38]

There are only a few projects that has real usage. Some coins get hyped only from the start that causes a sudden rise of value once listed on exchange then value goes down and rarely recovers. To earn in crypto, timing is important. Some tokens recover but some takes time.

[Yurkov]

Very often, the reason for the immediate drop in price after listing on exchange is bad token policy. A very large number of tokens for airdrop, bounty campaign and distributed to people for free at events means that in a bad market situation it is enough that even a small number of owners change their mind and at the moment of sale sharply lower the price. I think tokens distributed for free or in a bounty campaign should be blocked for a few months to avoid dropping the price right after the listing event.

[dodgrad]

Unfortunately, but the projects that have been listing on exchanges over the past two years have mainly been losing their value very quickly due to the fact that it was a very long bear market period and investors lost confidence in ICO / IEO / STO projects.
However, it is also important that the project needs time to develop after collecting money. Often it is several months or longer. During this time, investors may want to withdraw money and sell tokens. This causes the price to fall initially and rise after time, when the project succeeds.

[coin_1122]

There are only a few projects that has real usage. Some coins get hyped only from the start that causes a sudden rise of value once listed on exchange then value goes down and rarely recovers. To earn in crypto, timing is important. Some tokens recover but some takes time.

You are right, timing is very important in crypto once after listing in exchange sudden the price of a coin will increase and suddenly the value of the coin goes down and it will take a lot of time to recover its price. Based on the developments some coin price will increase and some will go to zero.

[bangjoe]

There are only a few projects that has real usage. Some coins get hyped only from the start that causes a sudden rise of value once listed on exchange then value goes down and rarely recovers. To earn in crypto, timing is important. Some tokens recover but some takes time.

You are right, timing is very important in crypto once after listing in exchange sudden the price of a coin will increase and suddenly the value of the coin goes down and it will take a lot of time to recover its price. Based on the developments some coin price will increase and some will go to zero.

I've seen it on a small exchange when the token only takes less than five days to become zero immediately after listing, but I forgot the name of the token, maybe the same coin as you mean. nothing is certain about whether this trend will change, especially when the price recovery process is back to the ico prices, because all are still holding on to the declining altcoin trend.

[LouVandetta]

Unfortunately, but the projects that have been listing on exchanges over the past two years have mainly been losing their value very quickly due to the fact that it was a very long bear market period and investors lost confidence in ICO / IEO / STO projects.
However, it is also important that the project needs time to develop after collecting money. Often it is several months or longer. During this time, investors may want to withdraw money and sell tokens. This causes the price to fall initially and rise after time, when the project succeeds.

Sadly this the fact of how things are now. The older projects has already lost its investors due to the price keep loosing its value all because the bear market that too long.

Even for a new project than just got listed, the price was rapidly decreased it was all due to the investors were afraid that they'll lose their chance to sell the coin when it's already too late and they have no other choice other than losing more money or hodl and waiting for miracles that never comes.

[b1k4ng]

the first reason in my opinion is more appropriate because even though they have airdrops but their products are real the market demand will increase. It can also be that early investors have a very large bonus when buying

[topbitcoin]

the first reason in my opinion is more appropriate because even though they have airdrops but their products are real the market demand will increase. It can also be that early investors have a very large bonus when buying

Unfortunately a lot of project for now only offer ideas, the product they create after end of token sale. And beside it, there are no guarantee if their product will launched especially if they focus on listed their token on exchange. And mostly project's token price down after listed is because there are an exchange which investor sell their coins especially early investor who get a lot of bonus.

[novaprime]

True, every token / coin whose price down after listing in exchanges has different reasons, but the more common reason is that investors / communities don't trust the project, so they prefer to leave it. because if investors still have confidence in the project, of course they will continue to hold the token until they get a profit

If investors don't believe in a project, I don't think they will invest in the project
I don't think that makes sense, more reasonable reasons have already been mentioned by the thread creator

The big sell off that created by investors didn't always mean if the investors are not trusting the project again. You can see some IEOs on binance were getting big sell off in the past and investors are not leaving such market caused by investors are only doing pump and dump to the coin. That's the real motive why there will be a dump after listing.

As I know, most of the IEO projects at Binance are profitable for investors but after that period of time the coin is continuously decreasing making those investors lose money so before joining IEO, need to consider carefully. In 2019 a lot of IEO projects are successful, but the amount to make a profit from this investment is very small and some IEO scam projects are appearing at a lot of other exchanges.

Personally, I only invest when it is a project that many investors are interested in and will try to participate if possible because there are not many opportunities to make profits in this market.

[Yurkov]

the first reason in my opinion is more appropriate because even though they have airdrops but their products are real the market demand will increase. It can also be that early investors have a very large bonus when buying

Unfortunately, but you are right, this is also a common mistake on the part of developers. It's not that early investors shouldn't have bonuses, but being able to buy tokens for 5% of the ICO price is way too much. If they do such a thing, with such a big discount these tokens should be blocked for at least a year or two.

[senne]

Why people think that just because the coin got listed on an exchange is enough a reason for the price to increase? That's never the case. The actual demand sets the price and usually new coins that is the ICO tokens fail to attract any volume at all. This is one of the reason I don't invest during the ICO and tend to wait till it gets listed on an exchange even if I like the project. Whether the project is good or not but for an investor returns matter more anyday.

[Yurkov]

Why people think that just because the coin got listed on an exchange is enough a reason for the price to increase? That's never the case. The actual demand sets the price and usually new coins that is the ICO tokens fail to attract any volume at all. This is one of the reason I don't invest during the ICO and tend to wait till it gets listed on an exchange even if I like the project. Whether the project is good or not but for an investor returns matter more anyday.

I think everyone has noticed it. The question in this thread is why this is happening. In a way, you answered that question because in fact one of the main reasons is that there is no demand. There is no demand because there are no investors and there are no investors because we have two years of bear market.

[iram3130]

Yes it is true but not only those two, there are allot of reasons behind this. There will be "angel investors", who had bought early and will sell their tokens, there may be bounties and they used to sell at certain price. People dont believe in hodling for a long time now.

[dodgrad]

Unfortunately, but the projects that have been listing on exchanges over the past two years have mainly been losing their value very quickly due to the fact that it was a very long bear market period and investors lost confidence in ICO / IEO / STO projects.
However, it is also important that the project needs time to develop after collecting money. Often it is several months or longer. During this time, investors may want to withdraw money and sell tokens. This causes the price to fall initially and rise after time, when the project succeeds.

Sadly this the fact of how things are now. The older projects has already lost its investors due to the price keep loosing its value all because the bear market that too long.

Even for a new project than just got listed, the price was rapidly decreased it was all due to the investors were afraid that they'll lose their chance to sell the coin when it's already too late and they have no other choice other than losing more money or hodl and waiting for miracles that never comes.

It has also become a big problem that many projects have not exchanged collected cryptocurrencies for fiat money. Unfortunately, but through the long bear market they lost funds and simply had to fall. This made investors scared even more and began to sell their shares for pennies. At the moment, the market must stabilize and slowly regain investor confidence, this is the only way.

[Kyraishi]

We always see the price rise for a short period after the listing in the exchanges or after IEO, but soon price be come down,
this may due to two reasons:
The first reason is that the coin or token has no real value.
The second reason is the large sale of those who got his coin  free such as airdrop.
Isn't that true?

Most tokens and coins, on their first instance of getting listed on an exchange, appreciate in value.

If a particular token or coin goes the opposite direction after a listing then it would suggest that investors have very little confidence in the project and does cause concern about the long term potential of the coin.

It could also just be a coin with very limited liquidity that has been overvalued in the OTC market. That could also be a possibility.

[YinShuiSiYuan]

We always see the price rise for a short period after the listing in the exchanges or after IEO, but soon price be come down,
this may due to two reasons:
The first reason is that the coin or token has no real value.
The second reason is the large sale of those who got his coin  free such as airdrop.
Isn't that true?

Most tokens and coins, on their first instance of getting listed on an exchange, appreciate in value.

If a particular token or coin goes the opposite direction after a listing then it would suggest that investors have very little confidence in the project and does cause concern about the long term potential of the coin.

It could also just be a coin with very limited liquidity that has been overvalued in the OTC market. That could also be a possibility.

So it would be to blame for the fact that the token simply has no value, which is why investors do not trust and withdraw.

I don't know if I understand correctly what you mean by "overvalued"?

I would say that the worst mistake for ICO projects is bad tokeneconomics. If developers allocate too many tokens for marketing and do not secure it in any way (for example, by temporary lock), partners and other people not associated with the project will want cash out right after listing on exchange. This is where the immediate price drop usually comes from.

[StephenJH]

Yes it is true but not only those two, there are allot of reasons behind this. There will be "angel investors", who had bought early and will sell their tokens, there may be bounties and they used to sell at certain price. People dont believe in hodling for a long time now.

If you mean early bird investors who bought a bag before the launch of token sale, these investors have the interest to dump the tokens on the listed exchanges. They also favour price in their interest, pre-sale prices are much lower than ICO price. Holders don't have this opportunity to take the same gain as the pre-sale investors.

[yehestielsiburian]

Yes, it is true.
But in my opinion there are also several other factors. Example :
1. The project was indeed made for hit and run
2. Marketing projects that are not good
3. List on shit exchange
4. The project is a project shit

[yslyv]

We always see the price rise for a short period after the listing in the exchanges or after IEO, but soon price be come down,
this may due to two reasons:
The first reason is that the coin or token has no real value.
The second reason is the large sale of those who got his coin  free such as airdrop.
Isn't that true?

because as soon as the hype ends, there is nothing stays and most of the holders and investors are aimed to sell out as soon as possible after the hype ends. it is always like this both in icos and ieos