Original Title: (The Three Fish Eaten on PumpFun)
Original author: Professor Su
Preface
In the financial market, just like at a dining table, some prefer Fish Head, some favor Fish Belly, and some love Fish Tail. Similarly, in the crypto market, these preferences are also vividly expressed. So, what should one eat?
This article uses different stages of @pumpdotfun to symbolize "Fish Head, Fish Belly, Fish Tail" and explores various investment stages in the financial market.
"Fish Head"
Definition: In the financial market, Fish Head can be seen as:
· Left-side trading in the secondary market, i.e., buying before prices rise.
· Seed round investment in the primary market.
· In @pumpdotfun, referred to as "Inner Market".
Fish Head is Here
Characteristics:
· High Risk, High Return: Investing in the growth process from 0 to 1, with extremely high multiples in between.
· Suitable Audience: Only suitable for a very small number of people with a strong risk appetite. These individuals often conduct in-depth research but still face high risks.
· Profitability: In platforms like @pumpdotfun, if investing within 10,000 units, once successfully launched, it could yield 10 times the return; if it reaches 10 million units, it could appreciate a thousand times.
Notes:
Due to limited capital capacity, the Fish Head stage is mainly a battlefield for "Chain King" and "p Small Generals", and big players generally do not participate unless it is their own issuance or they are part of a conspiracy group.
"Fish Belly"
Definition:
· Fish Belly is the part loved by most people because it has the most meat.
· In @pumpdotfun, Fish Belly refers to the stage after launching from the inner market, where research and analysis are conducted to choose whether to invest.
Characteristics:
· Low Risk, Relatively High Return: After market validation, risk decreases, and opportunity certainty increases.
· Ordinary Investors: Without insider information, they can only choose investments through analysis of the track.
· Example: Investors who chased after $ACT, $PNUT, and $neiro after listing on @binance all tasted the sweetness.
Profit Strategy:
· When investing, set aside absolute values and only discuss multiples. Fish Head investors might earn 50,000 from 500 units, while Fish Body investors only need a 50% increase to double.
"Fish Tail"
Definition: Fish Tail market refers to investors trying to profit by bottom-fishing at the end of the market through luck.
Characteristics:
· High Risk, Low Return: Due to market weakness, bottom-fishing is extremely risky, and returns often do not match the risks.
· Investor Psychology: There will always be those who are confident they can sell at the market top, but they often get trapped.
· Project Party Harvest: The project party or market makers often conduct the final capital harvest during this phase.
Risk Analysis:
· The return rate of investing in Fish Tail is extremely low; unless investors believe there is still significant upward potential in the market, it is not worth participating.
"Conclusion: Eat Fish Based on Odds"
· Fish Head: High risk, high return, suitable for a few risk seekers.
· Fish Belly: Lower risk, more stable returns, suitable for most investors.
· Fish Tail: High risk, low return, not recommended to participate unless there is a special market judgment.
Personal Suggestion: I prefer to choose "Fish Body" because it has a higher margin of error. For ordinary investors without insider information, Fish Body offers a relatively balanced risk-return ratio.
