DEX : How to survive token price on launching

[Emitdama]

Today i request you all to give your inputs on
what features should be there in a DEX so that the price of a token does not crash on day of launching and how it can sustain momentum.

The reason why the price of any token would drop once it’s launched is because there are always lots of investors that are ready to sell their token once the project goes live, and once these people start selling their share, the market begins to fall.

So, what the team has to do is to work hard in promoting their platform and also focus on building a platform that is better than others, something that can attract more investors, so that when some of the investors are leaving, there will also be new investors that are coming , and also for them to be able to retain most of the old investors.

[wxa7115]

Dex is not responsible for keeping the coin price high, dex is responsible to make the trading smooth and that's it, they do not have any other responsibilities when it comes to coins, as far as they know coin could skyrocket or dump and as long as the exchange works properly everything is great.

It is the projects responsibility that people do not dump their coin, if they do and that token becomes almost worthless that means the project was a bad project and nobody believes in it, if it was a good project some people would have bought it and not all would have sold it (no matter how great some do sell) and the price would either go lower just a tiny bit or stay the same (and even maybe go up a bit). DEX can't do anything about bad projects but just not list them.

It is that simple, it seems some traders have not assimilated the first and most important rule when it comes to trading which is, if you have decided to begin trading then you need to prepare yourself for your eventual losses, it seems they want to trade in this market in whatever coin they want and then earn a fortune without incurring in any risk and such a thing is impossible.

If you want to take the risk of investing in new coins despite the huge number of scams then you are on your own and if you lose all your money you cannot blame anyone except yourself because you should have known beforehand the kind of market in which you were getting into.

[Danslip]

The only way to prevent the price of dumping is to intervene by the team or DEX side. DEX team can't ask from the seller to put higher limit order or ask from buyers to increase demand for a specific time, there will be always price advantage lookers who will not ignore the profit with speculative orders. 

[MCobian]

DEX cannot prevent crashes when the tokens are launched, it is the project's developer team's job to keep the price of the tokens
from being dumped. My advice is to lock some of the supply tokens, so the number of tokens that can be traded is limited.
Do promotions to be able to increase demand for these tokens, and listings on many popular exchanges help increase demand for tokens.
This step can make the price of tokens survive, it can even make the price of tokens hype if developer team do the promotion properly.

[stomachgrowls]

Today i request you all to give your inputs on
what features should be there in a DEX so that the price of a token does not crash on day of launching and how it can sustain momentum.

The reason why the price of any token would drop once it’s launched is because there are always lots of investors that are ready to sell their token once the project goes live, and once these people start selling their share, the market begins to fall.

So, what the team has to do is to work hard in promoting their platform and also focus on building a platform that is better than others, something that can attract more investors, so that when some of the investors are leaving, there will also be new investors that are coming , and also for them to be able to retain most of the old investors.

All matters on the projects relevance on the first place because we know that not all coins/projects do pump are already considered one.It neither been driven by the hype or total support with the project and here comes the dump after being listed or a period of time.

For recent launching then theres no one can stop for coins price not to go down and as said it all matters to its investors itself but its no surprise that the main target is to secure out profits as early as you can because
as an investor and letting yourself getting behind on the line will surely make you miss out the right time to make money.So it isnt something new to see these events and this had already been the norm.

Only good projects do recover and the rest will die and be forgotten.This is why as a project owner then you should obliged yourself to make updates and do show up some progress on what the project had already done.
Either it already had followed its pre-sale promises or just stucked into those sweet words.

investors arent really that dumb that they would stick out into a thing if they do saw that theres no progress or shows of development because they can easily switch into things where they do saw
that has a potential and that can generate money for them.

[Viscore]

Hello all friends,

Thanks to all who always reply and try to put their points to make things better in this crypto place.

Today i request you all to give your inputs on
what features should be there in a DEX so that the price of a token does not crash on day of launching and how it can sustain momentum.

thanks

No, it was not all about the feature of a certain DEX, it is all about the project itself. We can't deny that not all projects have the potentials, we know what will happen next with these coins. Even it was listed to known and reputable exchanges but it is not the guarantee that it helpt them to survive. They will still be ignored if investors never saw it. It was the project itself bringing them to crash as there is no reason also to survive.

[Kelvinid]

DEX cannot prevent crashes when the tokens are launched, it is the project's developer team's job to keep the price of the tokens
from being dumped. My advice is to lock some of the supply tokens, so the number of tokens that can be traded is limited.
Do promotions to be able to increase demand for these tokens, and listings on many popular exchanges help increase demand for tokens.
This step can make the price of tokens survive, it can even make the price of tokens hype if developer team do the promotion properly.

However, most investors are neglected to see the potentials of the project but instead of looking into where it listed because they might be thinking that exchanges will help it grow which is not the case. The future of the projects relies on the hands of the developers and they should have to find a way to make things right and presentable to the community otherwise, they will be dead.

*social media campaigns
*signature/bounty campaign

-these will helps them to recognize.

[wxa7115]

The only way to prevent the price of dumping is to intervene by the team or DEX side. DEX team can't ask from the seller to put higher limit order or ask from buyers to increase demand for a specific time, there will be always price advantage lookers who will not ignore the profit with speculative orders. 

However this intervention will not only be dishonest but also very costly, there is a reason most currencies around the world are free floating and that is because you need to let the market to decide what it is its true price.

This is why when you see a bad governments on its last stages they always peg the value of their currency to a certain level, besides if they did that and another exchange refused to follow the game and the price of the coin was way cheaper there then an arbitrage opportunity will open and those that can will buy the coin at a cheap price and sell for an expensive price and they will do this over and over again until the exchange or the developers trying to maintain a high price for their coin run out of money.

[samcrypto]

You can’t control the price once its already on a public market because the buyers and sellers are dictating the price and their moves will depend on how good your fundamental are and depends on what kind of service you are offering. If you want to survive then offer a good service and continue to improve your platform, the market will react on that positively.

[beerlover]

Most of these places take your money at a certain value, I am not saying they should keep it at that value but if something goes %90+ down that means the team just took your money and left without doing anything else.

Normally if you gathered so much funds you should be able to actually end up with keeping the price above certain level, why would anyone end up with that much drop when they could use the funds they gathered from you to get the tokens they sold back? They could sell their token at 1 dollar each and when it drops to 0.5 cents they could buy it back and that way they would both have funds and also their tokens back. When people realize it is not going any further down they will keep buying higher and higher because they will not be able to sell any lower.

[wxa7115]

You can’t control the price once its already on a public market because the buyers and sellers are dictating the price and their moves will depend on how good your fundamental are and depends on what kind of service you are offering. If you want to survive then offer a good service and continue to improve your platform, the market will react on that positively.

Sometimes things are complex but in this case things are as simple as you are describing it, when and ico, ieo or whatever they are called now is held the developers can dictate whatever price they want for their coins and people need to decide if it is a fair price or not, however once the coin goes public then it is the market that decides what is the fair price of anything and if they decide the price of the coin needs to crash then it will do so.

Any developer trying to avoid this should stop making excuses and stop blaming bounty hunters and realize that if they want the price of their coin to keep growing then they are the ones that need to do a better job.

[Shasha80]

It's not easy to make the token price not crash when it's released on DEX, because investors will immediately take profit
if the tokens can be traded. A good promotional strategy from developer projects is needed so that demand tokens continue
to increase, take advantage of social media to promote these tokens. The key is in the promotion method, the better the promotion,
the more people will be known. And this will attract investors to buy these tokens.

[TheUltraElite]

It's not easy to make the token price not crash when it's released on DEX, because investors will immediately take profit
if the tokens can be traded.

Majority of the token holders are looking for a short term gain of 10%  and they are happy with that. This is reasonable since most tokens anyway dont go beyond 10% in the long term either. Blame this on the fact that crypto projects are not like stock market listed projects. They are failure mostly and dumping them at that time is a good thing to do. Besides how many of them have any use case at all? Very few and thus very little hodling value.

A good promotional strategy from developer projects is needed so that demand tokens continue to increase, take advantage of social media to promote these tokens. The key is in the promotion method, the better the promotion, the more people will be known. And this will attract investors to buy these tokens.

No you are wrong here. Promotional methods dont drag people to crypto, it is only the hype that surrounds new projects. Go for a social media campaign and you will get a bunch of Tier3 country users spamming it everywhere mindlessly and getting tagged by twitter spam control.

The point that grows a project's demand is an inherent market making method and a method to spend those coins at some advantage. This is lacking in almost any project.

[wxa7115]

It's not easy to make the token price not crash when it's released on DEX, because investors will immediately take profit
if the tokens can be traded.

Majority of the token holders are looking for a short term gain of 10%  and they are happy with that. This is reasonable since most tokens anyway dont go beyond 10% in the long term either. Blame this on the fact that crypto projects are not like stock market listed projects. They are failure mostly and dumping them at that time is a good thing to do. Besides how many of them have any use case at all? Very few and thus very little hodling value.

You are right on the points you make however I will argue that this market is more similar to the stock market when it comes to new tokens as it may seem at first sight, what happens is that the market of new coins is for the most part based on hype and once a new concept take hold that is when we see a bubble and we have a very recent example with DeFi coins.

But this also happen on the stock market, one of the most famous examples comes from the dot com bubble and while everyone remembers Google and Amazon many forget the hundreds if not thousands of new projects that ended up in failure or that were outright scams which used and abused new terminology no one understood to get a lot of money, sounds familiar? It should because that is what we see in bubbles in the altcoin market as well.

[TheUltraElite]

-snip-

I got your point, but one thing is different, the SEC will regulate the stock market stocks but not the cryptocurrencies popping up everyday. When companies get delisted or liquidated the money of the investors is protected and returned to them properly but does this happen in crypto-projects which have been failures? Have any of the scams that happened got the money stolen, returned to the investors? Very few.

A token being listed based on whatever the project may be will never be comparable to mainstream markets because they are having a much bigger funding, fanbase, marketing and market making than any crypto project. Hence the point that most people coming in it are in there for the gains on listing day and not long term holding.

Because even they know that the project is a failure in the first place.

[Xembin]

As you all know, every trader want to make a good profit from their trading. Many traders are waiting for the market to change for their good before they can supply to the market to see if the price of the token will be suitable for them to release their coins.
Here are some ways we can survive token price on launch:
1) Information: was the information is well clear to trader that a particular project will soon change positively. Trader need
a clear information that will keep them to have faith in that particular project.
2) Stable: If the price of the token can keep pumping the way investors want it, I think it will help the token price not to crash.

[Dorodha]

It is not easy to maintain the value of tokens in the introduction of Dex the customer needs to look at its reliability and determine its various strategies for how profitable it is. Nothing can be done in a hurry gradually try to increase its demand. Tokens are being scammed in the market so their price is going down but if you can offer good service then the demand for dex platforms will increase and the market will go up a lot.

[el kaka22]

There is no way that defi could have any long term affects on crypto, people assume that it would make a change but the reality is that defi is a one time thing that got a hype and eventually it will die down.

A lot of people assumed if ICO was the new stock market deal, companies all around the world would stop going to stock market and they would all have ICO instead of having public offering and that way they won't even lose ownership of their companies and only would have a coin backing them up, without even caring about dividends, it would be just for the looks so companies would earn billions without giving back anything.

Even that idea didn't latched to the companies, they are still giving ownership of their companies for far less money instead of doing ICO, same will happen to Defi, all this hype will die down very soon.

[Fredomago]

It's not easy to make the token price not crash when it's released on DEX, because investors will immediately take profit
if the tokens can be traded. A good promotional strategy from developer projects is needed so that demand tokens continue
to increase, take advantage of social media to promote these tokens. The key is in the promotion method, the better the promotion,
the more people will be known. And this will attract investors to buy these tokens.

There's really a big impacts to the project when the team knows how to market their token/coin, maximizing the used of social medias gives them the chance to gather support from the people.

Investors are always looking for opportunities and once the coin is being available inside dex early holders will take the advantages and sell their holdings

The best thing to do is to have a certain plans in terms of buying back and provides good usages
to the coin, having partnerships to make sure that there's usages that will take place. Aside from
any attractive offers it should be the actual usages that supporters will look upon.

[RealMalatesta]

Maybe you should not be trying to survive? Maybe that is not the case at all? Maybe you should be leaving like everyone else? I mean people think that a coin is great even if it drops at the launch and it could recover and I have to say that is not always true.

If a token is not good at all on the launch, like drops 50% on the first day, most likely outcome for the future would be barely recovery as well, if a token is amazing people will not sell on the launch day, they will want to buy and hold as much of that token as possible because it is an awesome one, not just sell and get out on the first day. This is why if you think a token launching on an exchange will drop, you should have a stop loss and get out as quickly as you can most of the time, there is rarely a few that could recover and that small number doesn't worth the risk.