Before you buy any cryptocurrency… save this checklist
A coin can rise by 100% and then crash within hours, while another may look very cheap even though its market cap is in the billions!
The problem is that many traders look only at the price and ignore information that could change their decision.
📌 Here are 7 things to check before buying any coin:
1️⃣ Market capitalization (Market Cap)
Don’t judge a coin by its price! A coin priced at $0.001 may be more expensive than one priced at $100 when you compare their market caps.
2️⃣ Circulating supply
How many coins are actually available on the market? Will more be released soon?
3️⃣ Token unlock dates (Token Unlocks)
One of the most important details beginners overlook. Unlocking large amounts of coins may increase selling pressure, but it doesn’t necessarily mean the price will fall.
4️⃣ Trading volume and liquidity
A rising price with low liquidity can make it difficult to exit a trade, especially if there’s a sudden drop.
5️⃣ Distribution among large wallets
Is a large share of the supply concentrated in a small number of wallets? High concentration can increase the risk of volatility and manipulation.
6️⃣ Fully diluted valuation (FDV)
Compare it with the current market cap. A large gap warrants a closer look at future supply and its release schedule.
7️⃣ Plan your exit before you enter
Decide in advance when to take profits, when to accept a loss, and how much of your capital you can afford to lose.
$BTC $XRP $SOL
A coin can rise by 100% and then crash within hours, while another may look very cheap even though its market cap is in the billions!
The problem is that many traders look only at the price and ignore information that could change their decision.
📌 Here are 7 things to check before buying any coin:
1️⃣ Market capitalization (Market Cap)
Don’t judge a coin by its price! A coin priced at $0.001 may be more expensive than one priced at $100 when you compare their market caps.
2️⃣ Circulating supply
How many coins are actually available on the market? Will more be released soon?
3️⃣ Token unlock dates (Token Unlocks)
One of the most important details beginners overlook. Unlocking large amounts of coins may increase selling pressure, but it doesn’t necessarily mean the price will fall.
4️⃣ Trading volume and liquidity
A rising price with low liquidity can make it difficult to exit a trade, especially if there’s a sudden drop.
5️⃣ Distribution among large wallets
Is a large share of the supply concentrated in a small number of wallets? High concentration can increase the risk of volatility and manipulation.
6️⃣ Fully diluted valuation (FDV)
Compare it with the current market cap. A large gap warrants a closer look at future supply and its release schedule.
7️⃣ Plan your exit before you enter
Decide in advance when to take profits, when to accept a loss, and how much of your capital you can afford to lose.
$BTC $XRP $SOL