When you look at coins like USUAL, LUNC (Luna Classic) or DOGE (Dogecoin), the percentage changes may seem large, but the absolute price remains low. This is due to a few factors specific to these assets:
1. Low price per unit (small nominal value)
• Both LUNC and DOGE have very low unit prices, typically in pennies or fractions of pennies.
• A 10% increase in something worth $0.0001 is very small in absolute terms.
For example (AWAY):
• Before: $0.000085 → After: $0.0000935
• The percentage (10%) seems high, but the actual increase is minimal.
2. Huge total supply
• Coins like DOGE and LUNC have a massive amount in circulation (trillions in the case of LUNC). This makes the price per unit very low, even as the market cap grows.
• Example: LUNC can have large fluctuations in volume without significant impact on price, due to the total quantity available.
3. Speculation and hype
• Many coins, especially “memecoins” like Dogecoin, are driven more by speculation and short-term movements than by solid economic fundamentals.
• This leads to large percentage variations, but the final price remains low due to low actual adoption or day-to-day usage.
4. Significant lack of liquidity
• If there is little trading volume, the percentage changes are amplified, but since the market is not deep, the absolute value of the currency does not reflect this.
These coins are often attractive to speculators looking to make quick profits based on volatility, but it can be difficult to see a significant increase in absolute price without drastic changes in adoption or token “burns” (reducing supply, as they are trying to do with LUNC).
