Analysis of projects and what you should pay attention to when investing
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🖥Criteria.
Project analysis is a lengthy exercise in which each of the following factors must meet clear criteria. A combination of factors will be able to determine the potential of the project, what problems may arise in the future and understand whether you should invest money there or not.
📌 Capitalization
Capitalization is one of the most important components in considering a project. The higher the capitalization of a coin, the more difficult it will be to give it the same 100%, but projects with large capitalization have been on the market for a long time and carry value.
- Small cap - up to $100,000,000.
- Average cap - up to $500,000,000
- High cap - everything above $500,000,000
💬It is important to understand that a low cap increases the chance of high interest and can reduce the time frame, but at the same time the risk of losing a lot also increases.
A high cap means more confident projects, for which setting goals of 200+% would be more of a utopia than the truth. Also, the time for the asset to reach your marks is longer. BUT, a high mouth guard provides less fall compared to a small mouth guard.