As an investor who has experienced many ups and downs in the cryptocurrency market and has earned dozens of times the profit, I am happy to share some of my experiences and insights.
The first method: starting from personal cognition (suitable for experienced investors)
Research on founder’s background:
Excluding Chinese founders
Excluding founders without financial strength
Exclude founders with bad records or who have “cut leeks” in the past
Evaluate the authenticity of the project:
Avoid projects that are overhyped
Be wary of projects that claim to outperform ETH or BTC
Exclude those coins that are packaged with high-sounding concepts but have no actual application
Observe the community’s reaction:
Be cautious about coins that are hotly discussed in the community and distribute profits every day.
In the cryptocurrency world, you often have to do the opposite of what most small investors do.
Evaluating historical performance:
Don’t buy coins that have been falling for three years
Avoid choosing coins that are experiencing a volatile decline. The market makers of these coins have already withdrawn, leaving only retail investors fighting among themselves.
The second method: Probabilistic method (suitable for investors trying new coins)
Listing platform:
Choose a coin that has been listed on BN or Binance, OK, or Coin
The coins listed on these major platforms have at least passed the review of the investment department and paid the listing fee.
Price and Market Cap:
Select coins with a price of 0.0000 and a market value between tens of millions and 500 million.
Founder Background:
Priority will be given to projects founded by foreigners
Promotional heat:
Avoid coins that have been significantly hyped or heavily promoted
Market capitalization ranking:
Select a few from the market value ranking on BN. Don’t buy too much, just a few thousand or a few hundred yuan.
The above two methods are intersection methods. All conditions must be met at the same time. If one condition is not met, it will be excluded.
Additional Supplemental Suggestions
The market has experienced a big correction recently, and many people want to take advantage of the opportunity to pick up chips but don’t know how to choose. Here are some of my suggestions:
Anti-fall coins: Choose coins that are resistant to declines during the decline.
Grand narrative themes: In the mid-term bull market, coins with grand narrative themes will be pulled up, such as the second layer, sol ecology, meme sector, AI sector, etc.
If you are investing in spot, especially long-term, you should be excited when the market falls, not sad. This is an opportunity to buy cheap chips. If you missed out on new coins before, now may be a good time to get on board.
Left-side trading: buy in batches, don’t be afraid of being trapped, what you need is the courage to get on board.
Right side trading: Buy when the market is stable. What is needed is patience and self-discipline to control your hands.
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