$BTC Memecoins are volatile, high-risk assets that often pump hard and crash harder. Traders looking to “ride the wave” can apply the Gambler’s Ruin problem to understand why blindly holding or constantly trading them often leads to losses over time.

The Gambler’s Ruin theory shows that even in a fair game, a gambler with limited capital is likely to go broke if they keep playing. Key takeaways:

Each trade is like a coin flip — you might win or lose.