I’ve got a bit of the same attitude as @recruitparent about a college looking to take $300K from me over the next four years pressuring my S/D to apply ED. But the opposite is also true. Your post can be read to suggest the coach at school #1 might be indifferent about your D. Your D always has to be the good cop, so at this point in the admissions cycle I would suggest a zero-room-for-ambiguity parent and coach #1 conversation. With the positive pre-read + legacy + no-financial-aid, you need to know if the coach is just failing to communicate clearly enough that your D does not need his help.
I would suggest following that up with a parent to admissions conversation for a zero-room-for-ambiguity understanding of whether the pre-read assumed a level of coach support that could change if the coach leaves her off the list thinking she will get in anyway. Be very careful in describing the situation to admissions since “he does not support her anymore,” could be misinterpreted to suggest he figured out she is a serial killer.