I sold all my $XRP, $ADA, $XLM, and other high-cap alts the day before yesterday, with ~$300k in profit
🧵 why I did it and what comes next (this will save u dozens of Xs this bull run) 👇
➫ First, want to clarify that I'm not trying to predict the top or urge you to take any actions
❍ My goal is to make as much money as possible in crypto
❍ That's why, yesterday, I closed all my positions in high-cap coins like XRP, ADA, XLM, etc
In this thread, I'll explain why and what I'll do next:
➫ I’ve been holding these positions since the last cycle, and now it’s the perfect time to let them go
❍ The upside for such projects is only 1.5-2x at best now
❍ It’s simply not worth holding them, especially compared to $ETH, $BTC, or $SOL
➫ If you’re wondering why, the answer is simple:
❍ Some projects just won't grow ever again
❍ They lack development and consistent updates, and liquidity is only flowing out of them.
Read more about these tokens here:
➫ Overall, the only thing you need to rely on to maximize profit is upside potential
❍ If a project's upside isn’t significant, what’s the point of (1 to 2)r/r here?
❍ That’s why now is the perfect time to rotate into mid-low-cap coins with higher upside potential
➫ Rn, I'm fully focused on mid- and low-caps within narratives that haven’t performed well this cycle yet
At the same time, they are obvious leaders, such as:
- AI
- RWA
- GameFi
- DePin
So here is how I research projects and their upsides👇
➫ Basically, all you need to find a good project are 3-4 tools
❍ Start with CoinMarketCap or CoinGecko
❍ If you’re looking for an on-chain play, low-term/high-risk, then use Dexscreener
❍ Now, let’s talk specifically about mid- and low-cap alts with medium risk
➫ Go to one of the popular narratives, for example, AI
❍ Search for 5-10 interesting coins with a market cap below $100M
❍ Look for those whose charts haven't tanked by -95% and where the FDV isn’t much higher than the market cap
➫ WebSite and X
❍ Check the website — how it’s designed, whether there’s information about the team, the roadmap, and the project’s plans
❍ Also, look at how active their Twitter is and how updates are released
❍ The team should be actively engaged in their project
➫ Unlocks
❍ The next important step is to check token unlocks using Dropstab
❍ The unlock schedule should be structured to avoid creating sell pressure for the token
❍ Also, check how much of the supply is unlocked, and how much is held by the team and VCs
➫ Upside
❍ The most important thing is accurately evaluating the upside based on the available data about the project
❍ Dive deeper into the project, join its community, and assess the upside potential
❍ After that, set up your risk management properly
➫ Conclusion
❍ Remember, this is my method and my view of the market at the moment
❍ Everyone has their own strategy and risk/reward, and I always advise sticking to your own plan
❍ But it's also important to consider factors like research, upside evaluation, and so on