The theory of price is that if you pitch the price sky high, only one person will want it. If you give it away, everyone will want one. Neither is actually true. In general terms, the higher the price, the scarcer the sales. Conversely, the lower the price, the more numerous sales are likely to be. The trick is to pick a price where numbers sold at X unit profit generates the largest payback. It's simple, but it isn't easy.
Set the price too high and sales will trickle in. Set it too low and you might be flooded with orders yet generate little profit. On the other hand, you might not sell at all. Cheap goods are often perceived to be worthless.
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