Pepe Coin: Lessons from a Friend’s Cryptocurrency Journey
Finding the next 100x crypto gem is like winning the lottery. While some people have made millions through tokens like Dogecoin or Shiba Inu with small investments, most of us are missing out and being left behind.
I've felt the same way before. I've heard of people getting rich off some random meme token that went up 1000% overnight. But by the time I looked into it, the price was already so high that it was too late and I couldn't see any significant benefits.
This is so frustrating. I hope to be able to find these coins early before the pump happens. But I don’t know how people discovered these hidden crypto gems so early.
That is, until I discovered a simple three-step process for finding overlooked coins before their big breakthroughs. After using this process consistently for a few months, I successfully bought several altcoins that gave me 20x, 50x, and even 100x returns.
In this article, I’ll walk you through the exact process of finding the next crypto gem before it comes out. With some patience and discipline, you can use the same process to discover the next Dogecoin or Shiba Inu before it makes headlines and generates 5- or 6-figure returns for investors.
Step 1: Analyze Token Age and New Wallet Growth
The first step is to analyze coin age and new wallet growth using tools like Messari.io. This allows us to understand when the token was first issued and how many new wallets are purchasing the token.
Coins that have been around for years without much price movement may suddenly wake up. Typically, this is due to a surge in new wallet growth as investors begin accumulating tokens.
Dogecoin, for example, was several years old when it finally took off in 2021. But just before the huge rally, there was a massive increase in new Dogecoin wallets being created.
So what we want to look for are new altcoins that are at least 6 months to 1 year old that are starting to see accelerated growth from new wallets. This shows that "smart money" is starting to take positions in anticipation of a breakout.
Step 2: Analyze top traders and whales
Once we see a new altcoin surge in new wallets, the next step is to analyze the top traders and whales buying the supply.
Whales and top traders often have inside information about upcoming projects. By tracking big money movements, we can tap into their research and expertise.
I like to use a free tool called DeBank to analyze the wallet addresses of top traders and see what they hold. For example, if I identify a random altcoin called “PepeCoin,” I enter the wallet addresses of the top PepeCoin traders into DeBank to see what other coins they own.
Often, these large traders will hold new, somewhat unknown coins that they plan to mine next. By identifying those hidden gems early, I can take smaller stances in anticipation of their next move. When the whales start pumping it out, I'm ready for a huge gain.
Step 3: Set a price alert and wait
Once I've identified a potential gem through steps 1 and 2, the final step is to set a price alert on my phone and wait.
I add new coins to my watchlist portfolio on apps like CoinMarketCap and set up custom price alerts. For example, I might set a 15% price increase alert to notify me when a coin starts to fluctuate.
Then I just wait for the alarm to fire. In the cryptocurrency space, huge gains happen quickly. By receiving an immediate notification when a target coin reaches my alert price, I can watch breakouts occur in real time.
From there, I decide if I want to take profits or let nature take its course. But the key is to enter the trade early, before the market really takes off.
How I used this process to discover DogeZilla
Let me walk you through a real-life example of how I use this 3-step process to identify and get into DogeZilla extremely early, before it achieves 1500% breakthrough.
In September 2021, I noticed a surge in new wallet growth for a coin called DogeZilla. Launched in July 2021, it is relatively new. Even though it was 2 months old at the time, there was a surge of new buyers.
I pulled up the DogeZilla contract address on DeBank and started analyzing the wallets of top traders. Sure enough, several of them were holding large bags of other microcurrencies that I had never heard of before.
One trader in particular had a large amount of BabyDoge, Kuma Inu, Floki Inu, and other new meme/dogecoins stashed in his wallet that were just starting to gain popularity.
Based on wallet analysis, I’m sure DogeZilla is ready to pump. Traders are accumulating dog-themed microcap stocks to rotate between them and the pump. DogeZilla seems to be next.
I took a small $500 position on DogeZilla in September when it was trading around $0.000000002. I set my price alerts in 10% increments, all the way up to 100%, so I'm notified when the price starts to move.
Sure enough, about two weeks later, my alarms started going off one by one. Within days, DogeZilla surged 1500%. My $500 position grew to over $7,500!
I ended up selling near the top before the price pulled back. But it all starts with identifying opportunities early using a three-step process.
Finding overlooked gems requires patience
To be honest, this process requires some patience. Not every coin you identify this way will go to the moon overnight. Many people take days or even weeks to break through.
You have to resist the urge to chase a pump that's already started. By sticking to this strategy of identifying potential gems before they pop up, you'll avoid being dumped again and again.
Some of the coins I found would eventually turn out to be junk. But it only takes one or two 100x gains to crush it. A few wins can offset dozens of losses.
Let your winners gallop while your losers short-haul. But those huge parabolic wins won't happen unless you get in early before takeoff.
Learn more about my research process
In addition to the high-level 3-step process outlined above, I want to give you an inside look at my actual research process.
Maybe you can implement part of this yourself to discover hidden crypto gems days or weeks before they explode:
I browse the Messari.io charts every morning while drinking my coffee - I look for new coins with a surge in new wallets, a sign that potential accumulation is underway. I will make a watch list of all the contenders.
I analyze token economics - if anything looks wrong, like high taxes or unreasonable supply, I give it a pass. A strong token economy helps provide upward price pressure.
I researched the team and community – anonymous founders and Telegram groups full of moon boys were red flags. I look for experienced, community-committed teams.
I join Discords/Telegrams to gauge sentiment - I lurk in the community looking for my watchlist tokens to take the pulse of investors. The real contenders are getting excited.
I delve into wallets/exchanges - using DeBank and Nansen I will analyze price action and on-chain signals. What are whales and top traders doing? What are the trends in supply distribution?
I track influencer signals – are crypto influencers teasing hints about certain coins? This is usually coordinated with an internal pump set.
I set smart alarms and waited – getting started early was key. I try not to chase the pump that has started. After setting my alerts, I wait for trading opportunities to arrive.
The entire process can take hours, days, or even weeks to research and monitor various cryptocurrencies. It's not easy, but the rewards can be truly life-changing.
Even with all the scams and rugs out there, I firmly believe the next Dogecoin or Shiba is waiting to be discovered using these strategies. Just put in the effort to discover them.
wrap up
Hopefully this will give you a framework for discovering overlooked gems early on before they enter the stratosphere. Here are some key points:
Analyze token age and new wallet/user growth to uncover accumulation
Track the smart money by monitoring top trader wallets
Get in position as early as possible before the cattle arrive
Stay patient and disciplined while waiting for analysis results
Resist the urge for quick success and let your winners ride the wave
Cut your losses early before you suffer big losses
With this simple 3-step process and some dedication, you can be the one to profit from the next Dogecoin or Shiba Inu instead of chasing it from the sidelines.
But you have to be willing to invest time and effort into researching and monitoring potential moon landings before launch. Success doesn’t come overnight, but with patience, it can pay off in life-changing ways.
The hardest part is avoiding FOMO and identifying opportunities early before they become obvious to others. But this is the key to generating huge returns.
The next 100x crypto gem is waiting. Now you have a blueprint to find it first.
