When a shiny new token โจโจ lands on Binance, don't jump in headfirst! Follow this checklist to stay safe and potentially score some gains:
๐ต๏ธโโ๏ธ Did it have an ICO? If so, what was the original price? This gives you a historical perspective.
๐ Total Supply vs. Circulating Supply: Understanding the total amount of coins in existence vs. those currently available for trading is crucial.
๐ง What's its niche? Is it AI, gaming, a whole new ecosystem, or a layer-1/2 solution?
๐ ICO vs. Launch Price: How does the Binance launch price compare to the original ICO price? A massive jump might be a red flag.
๐ฐ Market Cap Matters: Avoid coins with a market capitalization exceeding $500 million at launch. It's often a sign of overhype.
๐ Is it truly new? Or has it been trading on other exchanges before?
๐ Free Airdrop? Was there a free airdrop? This can impact initial demand.
๐ก Smart Investing Strategy
โ Patience is Key: Don't FOMO (Fear Of Missing Out) and buy immediately after launch.
๐ Observe the Action: Watch the price action closely for a few hours. How is it reacting?
๐ Find a Base Price: Let the coin settle and establish a more stable price.
๐ง Make Informed Decisions: Based on your research and observations, decide if it's a good fit for your portfolio.
