However, not everyone who invests in memecoin is successful. In fact, most fail. So how can you be among the few winners in the memecoin game?
This article will provide full tips to help you find potential memecoins before they skyrocket.
Tip 1: Follow trends on X
When starting your search for potential memecoins, a simple way that you cannot ignore is to observe hot trends in the market. The reason is because many memecoins are created and increase in price quickly thanks to their connection to a prominent trend.
Dogecoin's price also flew many times after Elon Musk actively shilled
For example, GROK - memecoin was born after Elon Musk announced the implementation of Grok AI. Or SQUID - memecoin that imitates the Squid Game craze.
Price graph of GROK - memecoin following Grok AI on November 12, 2023
In addition to the above two examples, there are many other memecoins that only rely on popularity or influencers' opinions/articles that can still increase in price suddenly. So tracking these trends will help you predict which memecoins are about to explode.
The memecoin was born based on the popularity of Linda Yaccarino - CEO of Twitter
So how not to miss any popular trends? One simple way is to regularly monitor hashtags that are trending on X.
In addition, you can also follow the X pages of influencers inside and outside the market to get more insights on new trends.
Tip 2: Use DEX Tools to search for the latest projects
Another way to search for potential memecoin projects is to use DEX Tools. With DEX Tools, you can discover newly created memecoins on-chain.
Just 2 steps:
Visit: https://www.dextools.io
In the list of projects, select the column: "Created".
There you have it, a list of memecoins sorted from newest to oldest.
Filter memecoins
However, you need to note that only a handful of projects here are trustworthy. Therefore, you need to check some of the following factors when choosing a new project:
Liquidity: Liquidity describes how easy it is to buy or sell an asset in the market without affecting the price stability of that asset. It's better to find coins that have high liquidity and can be traded freely and easily on many exchanges.
Number of holders: A project with a number of holders less than 100 often has a high risk of being scammed. You should choose projects with a larger number of holders, as that minimizes the possibility of price manipulation.
Once you have filtered out a few projects that fit the above criteria, you can continue to check out their community. A tool that TradecoinVN recommends you use in this step is TweetScout.
Information about the once-feverish LADYS project is provided by TweetScout
With TweetScout, you can look up all the indicators on X of the project. From how many bots in the community or influencers there are, to which famous VCs are following the project, all details are displayed.
Tip 3: Follow the footsteps of whales and smart money
Another way to find potential memecoins that you can apply is to follow the wallets of whales (owning a large number of tokens) or smart money (purchased early and successfully in many previous projects).
To do this, you need:
Identify the people you want to track and find out their wallet addresses.
One way to find these audiences is to follow channels that specialize in on-chain data, such as Lookonchain or The Data Nerd. These channels often provide activity information with wallet addresses of whale and smart money wallets.
Another way is to analyze famous memecoins and find whale or smart money wallet addresses in the holders section through a blockchain explorer like EtherScan or BscScan.
Once you get these people's wallet addresses, you can use DeBank to see what they are buying.
DeBank is a tool that allows you to view transactions and investments of certain wallets, see what they are buying/selling, what projects they are holding...
To use DeBank, you just need to go to its website and enter the wallet address in the search box. You will see a summary of the assets that wallet owns, as well as their transactions.
Tip 4: Hunt for presales/ICOs
When a new cryptocurrency project wants to raise capital, they often organize presale or ICO events to sell tokens to early investors. Those who participate in these events can purchase tokens at a cheaper price than when it was listed on exchanges.
However, not all presales/ICOs bring bargains. There are countless projects that are scams, or token prices plummet right after listing. Therefore, before participating in any presale/ICO, you need to thoroughly analyze the project and understand the risks involved.
Some websites help you find potential presales/ICOs:
ICO Drops: https://icodrops.com/
ICO Bench: https://icobench.com/
CoinMarketCap ICO Calendar: https://coinmarketcap.com/ico-calendar/
Important notes when playing memecoins
Please research carefully before putting your money in! Please research carefully before putting your money in! Please research carefully before putting your money in! It is important to repeat three times.
And after deciding to buy memecoin, you should also pay attention to the following points:
1. Think of investing in memecoin as a form of gambling
Memecoin is a very volatile cryptocurrency and can disappear at any time. You should only play with money you can afford to lose and not let it affect your life.
2. Let's divide investment capital and memecoin capital
Please use separate wallets for investment capital and memecoin capital. This helps you control your emotions when trading and maintain a comprehensive investment strategy.
3. When you make a profit, recover your capital slowly
If you are already profitable with memecoin, withdraw a portion of the money you spent when you have a profit of 50-100% and continue to invest with the profit. When the profit increases, withdraw a certain percentage.
4. No FOMO
Please evaluate and make your own opinion. Restrain your greed and don't DCA or buy back after selling just because you see what others say or see the price continues to rise.
Last words
Above are the methods you can apply to find potential memecoins.
However, it is also important to remember that memecoin is a game of chance. Be cautious and research carefully to avoid being deceived as well as stay calm and control your psychology in the face of market fluctuations. Wishing you successful investments!
Source: TradeMemeVN.com