1. Understand the basics of crypto currency like what is blockchain, bitcoin, ethereum, decentralised wallet etc.
2. Research the Project in whitepaper: Most cryptocurrencies have whitepapers, documents explaining the purpose, technology, and goals of the project. For beginners, understanding the main idea or problem the cryptocurrency aims to solve is important.
3. Check Market Capitalization: This reflects the overall value of the cryptocurrency (calculated as price x circulating supply). Larger market cap generally means more stability but also slower growth. Less market cap means high volatility, more risk and more reward.
4. Notice Trading Volume: High trading volumes indicate strong market interest and liquidity.
5. Check Social Media & Forums: Strong and active communities (like on Reddit, Twitter, or Telegram) often suggest a coin is gaining traction.
6. Apps like CoinMarketCap, CoinGecko, and Binance can help you track prices, market cap, and other metrics in an easy-to-understand format.