Buying new coins, especially those just launched, is indeed tempting, as many new coins have low prices with seemingly large growth potential, but this also comes with many 'pits.' If you really want to try, I suggest following these steps:
First, research the project background: don’t rush in without understanding who the project team behind this new coin is, whether it has actual application scenarios, if the white paper is credible, the team background, etc. Many new coins claim to be great, but there are not many that have real technology and team support. We need to have our own judgment and not blindly chase trends.
Choose a reliable exchange: New coins usually first list on smaller exchanges before having the opportunity to go on larger platforms, so if you decide to buy, make sure to find a safe and reputable exchange. Be cautious of those 'fly-by-night' platforms, as they might scam you and then run away, leaving you with no money or coins. Major platforms like Binance, Huobi, and Coinbase are highly secure, but most new coins will first appear on some smaller exchanges, so be mindful of risks.
Test with small funds, don’t go all-in: New coins can be very volatile, with dramatic price swings when they first launch, so start with a small amount to test the waters and avoid going all-in. Buy a little at first, get a sense of the trend before deciding to increase your position, and control the risks. If it drops, you won't lose too much; if it rises, it’s a good start.
Choose the right timing: When a new coin first launches, it often experiences a spike followed by a sharp decline, known as 'dumping,' mainly due to early holders cashing out. Therefore, don’t rush in as soon as it launches; observe for a few days and wait for the price to stabilize a bit before considering an entry. Don’t be in a hurry to 'chase highs,' remain calm, and opportunities will arise.
Always be ready to stop losses and take profits: New coins have large fluctuations; sometimes they can multiply overnight, but the next day might see a drastic drop, so be aware of profit-taking and loss-cutting. If you make a certain percentage of profit, consider selling part of it to secure some profit and at least get your 'capital back.' If the price keeps falling and hits your set stop-loss point, decisively exit; don’t hope it 'will bounce back,' as there are many cases where new coins turn into 'dead coins.'
My point is: the opportunities with new coins are indeed large, but the risks are proportional, especially for newcomers; do not take risks lightly. If you really want to play, treat it as a 'trial' opportunity to practice, use small amounts, take profits when you see gains, and don’t impulsively risk all your capital.
The big bull market is about to come, and I plan to layout some tokens that are about to receive positive news, while also looking for some coins with long-term potential to hold until the end of the year. Follow Brother Di for free sharing.