Correct name-tense & stage management

In the knowledgebase, Pipedrive suggests using the past indefinite tense.

What I'm not sure is WHEN to place deals in a certain stage.

Which example is correct?

>> Pipeline stage name: Contact made

Example 1

> Deal STAYS in Contact made because first contact has been made

Example 2

> Deal MOVES to next stage because contact has been made

Thanks, Ali.