Many cryptocurrency enthusiasts have funds below six figures and feel that there is no hope in buying Bitcoin and Ethereum, because they feel that making 5-10 times the profit is not their original intention.
Their idea is that they would rather lose everything or make a hundred times the profit than have a mediocre 10 times the profit.
So for these friends today, I will not refute this point of view, but provide relatively feasible arguments, hoping to increase their chances of winning.
No matter how much a stock has risen in the previous bull market, it may not be seen on the rankings in the next bull market.
It is the fate of most currencies that the bull market will not last more than two cycles. I am sorry.
Money is like life.
The various growths in life are seeing the world, seeing all living beings, and experiencing life and death.
Only then did I realize that the best things can never be kept.
It is said that nothing in the world is not solid, colorful clouds are easily dispersed and glass is fragile. This is probably the case.
I like to seek truth from facts when doing things. I aspire to dig into data, calculate probabilities, understand rules and seek truth.
Although I heard the truth in the morning, I am still attached to the world and don't want to be a hypocritical philosopher who would rather die in the evening.
Therefore, some people say that I am rational, while others say that I am realistic.
Now, let’s get back to the topic and look at the problem from the data.
In March 2020, 61 100x coins were generated among the top 600 currencies by market capitalization.
There are 11 in the top 100, accounting for 18%, and 21 in the 100-300 range, accounting for 34%.
Most of these are relatively new coins. There are not many old coins that stand out, BNB and Matic are the two main ones.
What does this prove? The story of an old horse still eager to run a thousand miles is true.
A broken mirror cannot be mended, but a dead tree can bloom again.
76% of these coins were generated during the bear market of 2018-2020, but only 24% were old coins.
So from the rules, we can conclude that if we want to catch a 100x coin in 2025, we need new projects that will be born in 22-23 years.
These hundred-fold coins have several other characteristics. The unit price is low. No matter how low, it is low. The price that is not higher than the US dollar unit is low.
Because the weight of buying more is much higher than buying the right one in the crazy story. Because novices always like cheap things. Online shopping novices are all educated by Pinduoduo, and Pinduoduo has played an indispensable role in popularizing the number of mobile Internet users. I don’t mind if people with merits, such as Mr. Huang, become the richest man, haha.
The most popular projects of 100x coins are public chains, with 17 accounting for 28%. They are trying to take advantage of ETH's traffic and talk about ETH's pain points, so Solmatic, BSC, Aave, etc. came out. Most public chains are just a highlight for a moment, and their ultimate demise is their fate.
In fact, the public chain is a platform-based business. As long as there is a good protagonist, it can grow. This is how running shoes drive the explosion of sol, and how chain games drive the surge of bsc.
In the future, the public chains that will grow 100 times will most likely be L2, L0, L3 and other tracks. It doesn’t make much sense to bet on L1. For example, sui, apt, etc., most likely will not grow 100 times.
The second 100x coin project is gamefi, with 5 in total accounting for 8.2%. The reason is too simple. In the world of web2, e-commerce makes money, advertising makes money, and games make money. The world of Web3 is just a restart, so how can games be left out? The last round of axs gmt and others are all very powerful. Now there are magic gala, which is engaged in game ecology, and imx, which is engaged in game public chain.
The third 100x coin project is cross-chain, IOT, DEFI, and MEME, which account for 4.9%. Cross-chain solves the problem of incompatibility between chains, so they are rigid needs, and there will definitely be powerful ones here. Meme is too airy, and I am optimistic about the DeFi track, such as GNS, DYDX GMX, Bend RDT, etc. in this track, all have prospects.
I suggest you don’t choose a market value of more than 2 billion. Just grab the leader in the track, and hold on to it. I hope you can get 2-3 100-fold coins with only 100,000.
Continue to look at the following data:
Replacement rate of the top 100 currencies by market capitalization
The replacement rate of the top 100 cryptocurrencies on March 15, 2020, compared to the top 100 cryptocurrencies at the peak of the market on November 8, 2021, was 67%.
The next bull market is likely to be the same. The top 100 projects now often need new narratives to fill in the next bull market.
The circulation and unlocking of institutions that have invested in more 100x coins, such as Multicoin, Polychain, Alameda, BN, and A16Z, are distributed in the range of 40%-60%. It is naturally the best to have these institutions invest. Among them, Alameda has failed to survive the tribulation and disappeared under the thunder tribulation. To be honest, institutions are sometimes not as good as individual investors.
Project establishment time
Among the 100x projects, 76% were established during the 18-20 year bear market cycle, and 24% were established before 2017.
Let's continue with the screening methodology:
Screening principles for altcoins:
1. Platform products have certain thresholds and are not easy to be copied. This threshold may be the product, ecology or brand.
2. The product has a long life cycle. Basic service products all have this feature.
3 Team
4. ROE
5. Profit growth
6Token Model/C Ratio/FDVe
Etc. You have to choose the best from the best. What's the point of a project that has no growth and whose code is not updated? Stay away from it as soon as possible.
Behavior of people holding 100x coins:
1. Don’t be a Fomo. Be disciplined. I told my community members that it is better to miss out than to chase high prices. Unless you have a lot of capital, it doesn’t matter. The side effect of Fomo is the permanent loss of confidence. I hope you will be a person who does not engage in Fomo.
2. Maintain sustainable growth of the principal and try every possible way to increase the income of the principal. Don’t use contracts or leverage. Don’t be greedy. Observe emotions coldly and don’t think about getting rich overnight. You can choose low-risk arbitrage and invest more in projects such as airdrops. Accumulate principal little by little, and also accumulate confidence. The industry is high-growth and you will always have opportunities.
3. Learn more to improve your knowledge, maintain patience, buy when the right few are reached, and never buy when the right few are not reached. It is better to miss out than to speculate because of missing out, and do not hold on to your stocks because of selling out. Buying and selling are both strictly disciplined. To make money through trading, you must learn to write a trading diary and summarize the problems of failure.
4. Make more friends, give others positive feedback in time, help others more, gain friendship, and give people a sense of reliability. You can always gain more information. Making money in the cryptocurrency circle is not very technical, but first-hand information is very important. It is impossible for people to be all-round. Be kind to others and do things as you do people. This is the level of mind. When speculating in cryptocurrency, you must get rid of jealousy, complaints, and self-pity. Otherwise, you will not be able to keep the big money.
I have finished writing, keep it up. I hope you can all choose 100x coins in the next bull market.