Fake ones, everyone should be careful—especially low-market-cap fakes. It can pump three or five times overnight, or smash back to the starting point in 10 minutes.
Fakes themselves are meant for small retail investors with small amounts of capital to use leverage for big returns. Never trust any fake. It will take you into dazzling glory, and it can also drop you into the bottom of the valley.
For example, the “rave.” It pumped from 0.28 to 28 dollars—up over a hundred times. The drop only takes a day, and the drawdown is 90% or more. During the pump there’s no top. During the dump there’s no bottom.
If you encounter a “meme coin” with unrealized profit and average into the fake, that can also be a decent return. You can take 10,000 dollars specifically to trade fakes, risking 1,000 dollars per trade with a stop loss. Try ten times—if you’re wiped out, don’t play anymore. It’s not suitable. Don’t touch it. If it’s going up and you don’t know when to take profit, and if it’s going down and you don’t know when to cut losses—then don’t play.
If you see something that’s been rising nonstop, don’t short it. If you see a waterfall drop, you can try chasing a bit of a short—though the profit from shorting won’t be huge, it’s quick.
Wait for a “meme coin” to show up and aim to make a big one.
Fakes themselves are meant for small retail investors with small amounts of capital to use leverage for big returns. Never trust any fake. It will take you into dazzling glory, and it can also drop you into the bottom of the valley.
For example, the “rave.” It pumped from 0.28 to 28 dollars—up over a hundred times. The drop only takes a day, and the drawdown is 90% or more. During the pump there’s no top. During the dump there’s no bottom.
If you encounter a “meme coin” with unrealized profit and average into the fake, that can also be a decent return. You can take 10,000 dollars specifically to trade fakes, risking 1,000 dollars per trade with a stop loss. Try ten times—if you’re wiped out, don’t play anymore. It’s not suitable. Don’t touch it. If it’s going up and you don’t know when to take profit, and if it’s going down and you don’t know when to cut losses—then don’t play.
If you see something that’s been rising nonstop, don’t short it. If you see a waterfall drop, you can try chasing a bit of a short—though the profit from shorting won’t be huge, it’s quick.
Wait for a “meme coin” to show up and aim to make a big one.