Let's say there is a coin listed on pancakeswap and not listed elsewhere. Users keep on sell and purchase the coin..
So i am curious to know; how does the price go UP & DOWN because now the coin is on DEX only...
on CEX the price goes UP & DOWN; totally depends upon demand & supply... but how this thing work on DEX?
There will be a slight difference here. In addition to the exchange based on buying and selling, when we trade on the DEX there is an additional liquidity pool. This means that it does not require buyers and sellers to match orders like the CEX exchange. Users can simply exchange their tokens and tokens in the liquidity pool using user-provided liquidity and trade through smart contracts.