If you put $10,000 into $XRP in September 2018.
Today, you would still have $10,000 🤯
99% of altcoins are doomed to dump/never grow.
Here are 10 coins you should AVOID (you're probably holding them) and how to recognize them 🧵👇
I would highlight 3 main types of altcoins to avoid:
1/➮ Many old projects that are simply too old and overvalued
✧ They have no technology and no upside
✧ They are doomed to fall relative to $ETH in the long term, which is what they are doing
2/➮ "Artificial" tokens, where the supply is completely controlled by team/VCs and the value is manipulated
✧ The price in such projects does not reflect the true market value
✧ There is always a risk that they will eventually be dumped by -99% at any moment
3/➮ Projects come from past trends (dead P2E games, etc.) or have high FDV, low MC, and constant sell pressure
✧ Projects from old trends that are no longer relevant are doomed to a slow death
✧ Buying tokens with strong sell pressure = becoming exit liquidity for VCs
You need to know how to recognize these projects and distinguish junk from gems.
So for example, here are 10 popular tokens - prime examples of these categories—that you might be holding, but they are doomed to fail (IMO).
1/➮ @worldcoin | $WLD
✧ $WLD is just an artificial coin where the supply is completely controlled
✧ The value can be manipulated however they want, but it's clear that sooner or later it will definitely be dumped
So the odds are not in your favor
2/➮ @Ripple | $XRP
✧ $XRP is designed for fast and cheap international money transfers
✧ But in essence, it is an unnecessary fork of $BTC with overly inflated valuation
✧ Not the worst coin, but $ETH or $BTC will always be better
✧ Same for ADA:
5/➮ @eth_classic | $ETC
✧ $ETC is a blockchain that emerged from a split with ETH in 2016
✧ $ETC is a fork of $ETH, and it is almost identical
✧ The only difference is that devs largely ignore ETC, and it has almost no prospects
6/➮ $BCH
✧ Bitcoin Cash is a fork of Bitcoin, created with the aim of increasing the block size
✧ This is supposed to allow for processing more transactions at once
✧ But in the end, it simply repeats the BTC concept without significant changes
7/➮ @monero | $XMR
✧ $XMR is known for its anonymity and transaction privacy
✧ However, since 2022, its value has been stagnating, and there is even a chance of a ban similar to the situation with Tornado Cash
✧ High valuation, outdated technology, no prospects, high risks
8/➮ @AxieInfinity | $AXS
✧ This applies not only to $AXS but also to other old P2E game coins
✧ The trend has moved on, there’s no more hype, and there’s a very high FDV
✧ Overall, in such projects, the pyramid has collapsed, and there’s nothing more to expect
9/➮ @dYdX | $DYDX
✧ In $DYDX, the main big issue is the token unlocks
✧ They are structured in such a way that they will constantly create selling pressure and drive the price lower and lower
✧ There are many of such projects, so always check vesting schedule
10/➮ Useless L2 projects
✧ This applies to $STRK, $ZKS — these are just useless L2 solutions with low mc, high FDV, and constant sell pressure, leading to price dumps
✧ It also applies to new projects that initially launch with high FDV and no real utility & community
11/➮ Key takeaways to consider before investing:
- Unlocks
- Demand
- Narrative
- FDV/MC
Just analyzing these factors will give you an understanding of whether it's worth investing and if the project has any upside at all.
Don't forget to follow 😉
