I took a screenshot of the steps of inserting #PiNetwork and asked... how to set the price of #pi and it was.....
The hourly order aggregation auction mechanism is used to determine the opening price of the pi/usdt trading pair before continuous trading begins. In this article, we will show two practical examples to understand how the final price is determined in different circumstances.
📌 First example: Determining the opening price when orders are balanced
1️⃣ Application submission stage (auction lasts for one hour)
Buy and sell orders are placed as follows:
Ahmed: Buy 500 PI at 10 USDT.
Khalid: Buy 300 PI at 12 USDT.
Sarah: Buy order 200 PI at 11 USDT.
Noor: Sell order 700 PI at 13 USDT.
Ali: Sell order 400 PI at 12 USDT.
Fatima: Sell order 200 PI at 11 USDT.
2️⃣ Determine the indicative opening price
The price that achieves the greatest match between buyers and sellers is sought.
✅ At 12 USDT:
Total purchase orders: (300 PI from Khaled) + (200 PI from Sarah) = 500 PI
Total orders for sale: (400 PI from Ali) + (200 PI from Fatima) = 600 PI
The largest match is at 500 PI at 12 USDT, making it the official opening price.
📌 Therefore, trading starts at 12 USDT.
3️⃣ Auction ends and continuous trading begins
Matched orders are executed at 12 USDT, after which normal trading begins where orders are executed instantly when placed.
📌 The second example: When the purchase quantities are large compared to the sale
1️⃣ Application submission stage (auction lasts for one hour)
The following commands are given:
Ahmed: Request to buy 50,000 PI at 9.5 USDT.
Khalid: Buy 30,000 PI at 10 USDT.
Sarah: Buy order 20,000 PI at 9.8 USDT.
Noor: Sell order of 5 PI at 314,000 USDT.
Ali: Sell order of 10 PI at 313,500 USDT.
Fatima: Sell order of 15 PI at 314,500 USDT.
2️⃣ Determine the indicative opening price
The price that achieves the greatest match between buyers and sellers is sought.
⚠️ But here we notice:
All orders are $10 or less in very large quantities.
Sell orders are very few and at very high prices ($314,000 or more).
There is no logical match between buyers and sellers at these prices.
3️⃣ What happens in this case?
📌 If there are no sell orders within a reasonable range, no trade will be executed during the auction.
📌 But trading can also start if buyers place buy orders that match sell orders at $314,000 or any other price set by sellers.
⚠️ In this case:
If a buyer decides to buy the coin at $314,000, the trade will be executed immediately after the auction ends at that price.
If no buyers step up at that price, trading will not start until sellers offer lower prices or buyers offer higher prices to match the orders.
4️⃣ Auction ends and continuous trading begins
If a matching price is not reached, trading will not start until new orders are placed at more reasonable prices.
📌 Final result:
If there are no sellers willing to sell at prices close to $10, trading will not start.
If buyers decide to raise their prices to approach $314,000, trades may be executed at this price.
🔍 Conclusion
✅ The opening price is determined based on the auction, and since the currency is owned only by the miners and the currency team only, because the currently circulating currencies are not the real ones because they have not been sold yet, and these currencies are only similar and do not have the same contract, we conclude that the price is in the hands of the miner sellers only.
I have explained the possible scenarios for how the price is determined and I have not favored any of them.
What is the expected scenario in your opinion? Leave it to us in the comments.
