/biz/ - Business & Finance

>>20501578
>Theoretically after every rebase if no one sells the price stays the same and mcap increases
This isn't true though, and it's been explained several times and you can see it every day by looking at the price and mcap charts.
>rebase happens
>price on uniswap immediately adjusts because there's more AMPL in the pool
>coingecko drops uniswap from the price calculation because it's now way different than CEX prices
>mcap appears to spike up
>arb bots buy from uniswap and sell on CEXs until a new price equilibrium is reached
>mcap drops back down to within a few percent of where it was before rebase
>people keep buying, raising the price and mcap until the next rebase
>repeat the process
The important thing here is that the mcap only increases because people keep buying after rebase.