Written by: NEET
Compiled by: AididiaoJP, Foresight News
I will share how to achieve financial freedom through memes in this cycle, which is a specific execution strategy, not just an idea. Yes, I am not joking.
Over the past one to two years, I have been accumulating meme coins on Ethereum. I buy on dips and have no intention of selling in the short term. Currently, meme coins account for 80% of my portfolio.
Meanwhile, I am gradually selling my meme holdings on Solana. The meme liquidity in the Solana ecosystem has been decreasing. With few exceptions, the return rates of meme coins have been declining since the launch of TRUMP and MELANIA in January.
The meme coin battlefield on Solana will never disappear; new meme coins will surge and plummet every day. But we can find safer and higher-return opportunities on Ethereum.
From a macro perspective, my meme coin strategy is very simple:
Stop casting wide nets on illiquid Solana meme coins in pursuit of 100x returns.
Start pursuing 10-20x returns on liquid Ethereum meme coins and invest more funds.
Part One: Why Choose Ethereum Meme Coins?
The liquidity of the PEPE/ETH trading pair is as high as $49 million. What will happen to PEPE's price when ETH doubles or triples?
My view is simple: ETH will rise, and meme coins will rise even more.
Over the past 1-2 years, we have seen excess returns from meme coins like PEPE, MOG, and SPX. The price performance of these coins has outperformed ETH and is likely to continue this trend in the future.
If an Ethereum meme coin meets the following criteria, add it to your watchlist and monitor closely:
Launched for at least one year
Locked or destroyed liquidity exceeds $500,000
Contract ownership has been relinquished
Official website and social media are still operational
Holders maintain a certain level of activity on Telegram or Twitter
These coins will significantly outperform ETH in the upcoming altcoin season, and this moment may be closer than expected.
Moreover, Ethereum meme coins have a hidden advantage: they are compatible with DeFi. This will be explained in detail later.
Next is the most anticipated part.
Part Two: Price Targets
Everyone cares about price targets.
No one can accurately predict price trends, but reasonable guesses can be made based on various indicators. Remember: whether you like a coin or agree with its meme culture, almost all meme coins will rise in a bull market.
Start with leading meme coins:
PEPE
MOG
SHIB
SPX
I define leading meme coins as those that have once reached a $1 billion market cap. At the current price level, their expected returns are 5-10 times. Holding these coins allows you to sleep well; unless a catastrophic event occurs, a 90% drawdown is almost impossible.
Next are mainstream meme coins:
APU
BITCOIN (HarryPotterObamaSonic10Inu)
BOBO
JOE
NPC
WOJAK
These coins have once surpassed a $100 million market cap, usually listed on secondary exchanges, with active communities and loyal holders. These mainstream meme coins are expected to have 10-20x upside potential.
Finally, there are altcoin meme coins:
BUSINESS
KEKEC
LMI
SMURFCAT
These are small-cap meme coins with a market cap of just over $10 million, not listed on exchanges, with low liquidity and trading volume but greater volatility. Not all small-cap meme coins will skyrocket, but those that perform well could have 20-30x returns.
The portfolio should focus on allocating blue-chip meme coins, moderately allocate mid-cap meme coins, and hold a small amount of small-cap meme coins as speculative bets.
Part Three: Spot Leverage
Don't let anyone tell you meme coins are worthless.
After buying meme coins, what’s the next step? Use meme coins for DeFi.
The IMF@intlmemefund protocol allows you to use meme coins as collateral for lending.
Why use IMF to collateralize loans with meme coins? I use it to increase spot leverage on my holdings. Now for every $1 increase in meme coins, I can make $1.5.
The specific operations are as follows:
Buy $10,000 of PEPE
Deposit PEPE into IMF and borrow $5,000 USDS loan
Exchange USDS for PEPE
Deposit the remaining $5,000 PEPE to reduce loan-to-value (LTV)
Now the amount of PEPE you hold has increased by 1.5 times. You will only face liquidation if the PEPE price falls 66% from the current level, and the likelihood of this happening decreases every day.
Moderate leverage can bring huge returns. A 1.5x exposure to PEPE can allow you to sleep peacefully. Additionally, after completing this trade, you can also receive IMF rewards, making it a win-win situation.
At first, I did not realize the potential of IMF. But now, communities like MOG and JOE are buying more tokens and driving prices up with new buying pressure.
IMF currently supports PEPE, MOG, and JOE, and will support more cryptocurrencies in the future.
So what about futures or perpetual contract trading on Binance, ByBit, and Hyperliquid? I suggest proceeding with caution. Meme coins on Ethereum are more mature, and the rise takes longer; this is a game of patience, and an increase is just a matter of time.
If you want to swing trade, stick to low leverage, long cycles, and never invest more than you can afford to lose.
Part Four: Exit Strategy
The final step is the simplest.
The position has been established; now it's not about waiting idly but being patient. The time for Ethereum meme coins will eventually come. The market is cyclical, and the moment for funds to rotate back into Ethereum meme coins is approaching.
In any case, setting clear profit targets is crucial. If you do not plan to sell a certain percentage or amount of meme coins, your position will be like a roller coaster.
When your coins start to rise, first repay the IMF loan and reduce spot leverage. Then gradually sell using protocols like @1inch or @CoWSwap, exiting in multiple transactions.
Do not try to time the top precisely. You need to take profits in batches as the coin price increases. The Gas fees on Ethereum mainnet are low, so you can sell multiple times as needed.
After completing these steps, you have successfully seized the bull market and achieved financial freedom through meme coins.
Conclusion
I must acknowledge and execute this trading strategy.
Meme coins will exist for a long time.
Although I am also optimistic about other crypto assets (including NFTs and some Solana meme coins), I firmly believe that Ethereum meme coins are like beach balls underwater; they will eventually float to the surface.
In a bear market environment, we have seen the rise of MOG and JOE, rebounding from the February lows. With DeFi protocols like IMF introducing lending and spot leverage features, a new meme coin season is likely around the corner.
This time, I will not trade aggressively with new coins, but will stick to those time-tested meme coins.
