@saraq90 - My husband did a very small market analysis for if his product was priced right because it was a high return item as it was a niche product and the only one of its kind.
What he did was come up with the price that went with his projections that would create a profitable year and then targeted various buyers (dealer suppliers, dealers, individuals, and small companies).
He waited till he was at a trade show and then people who engaged him he would look for their reaction when he told them the price and based on their reaction he asked questions to find what was behind their reaction.
Obviously if enough people were okay with the price he felt confident to price it there. But the most important key is just what you said - do not price it too low, because even if you talk to just a few people then they may remember that price when you sell it for higher.