Author: ardizor, Cryptography Researcher

Compiled by: Felix, PANews

Crypto researcher ardizor increased his assets from $4,700 to $2.1 million in 1 year, and it was not achieved through BTC, ETH, MATIC, AVAX or MODE. This article aims to share his tips on how to trade altcoins.

There is no need to develop complex strategies and trade based on them when trading altcoins. For example, a trading strategy only relies on the following key factors:

  • Understanding Crypto Market Psychology

  • Tracking internal wallets

  • Identify undervalued projects

  • Understand the principles of encryption security

Understanding crypto market psychology is the most important

In the crypto world, emotions drive everything. Human psychology is unchanging, and market patterns repeat themselves over and over again.

Here’s a rough visualization of market psychology patterns:

“The best time to buy is when the market is bleeding”

While many people realize this, people tend to sell when fear dominates the market, only to buy back in when greed takes over. This simple rule has the potential to generate huge profits.

Recognize the pattern and swim against the current.

Fear/Greed Index: https://alternative.me/crypto/fear-and-greed-index/

Understanding Insider Trading

Here’s a recent example: a wallet bought HAMMY immediately after its launch for $1,500 and then sold out for $177,000.

How can we be sure this is an insider wallet and not a random trader?

Consider this: How was this person able to buy in before the unexpected surge, when there was no positive news about the project in the market at all?

The answer, of course, is inside information.

How to find these hidden internal wallets?

  • Visit: https://dexscreener.com/

  • Find popular coins in the past 6 hours or 24 hours

  • Click Head Trader

  • Search for early deals

  • Copy wallet address

  • Go to: https://alphatrace.co/

  • To get better results, consider filtering out wallets with a profit of more than $500,000 and a win rate of 60%.

“How can I discover potential coins before others?”

  • Visit: CoinMarketCap / Coingecko

  • Select 10-30 tokens that interest you from your favorite field

  • Visit: https://dropstab.com/

  • On this website, you can view important information, such as project investors, number of Twitter followers, and financing data.

Where to view token economics

Visit Token Unlocks or VestLab to see the highlights:

  • Tokens allocated for the community

  • Investor lock-up status

  • Investor Cost and Current Price

Finally, it is crucial to verify the security of your token contracts. This habit will protect you from potential scams, rogues, and honeypots. The following two commonly used validators may be useful:

  • SOL：https://rugcheck.xyz/

  • EVM：https://www.coinscan.com/

Related reading: Only those who know how to sell are masters, here is the ultimate strategy for selling at a high point