What is the best investment profit yield cryptocurrency?
Do you mean, which coin will make the most money, or what crypto strategy gives you the best yield?
I’ll focus on the second, but give you a brief reply on how to think about the first option.
The Best Performing Coin
Undoubtedly, the best-performing coin from July (of 2023) forward will be some obscure coin that hardly anyone knows about AND (by luck) really happens to catch public attention.
$PEPE looks obvious in retrospect, but it wasn’t or everyone would have jumped in at the beginning to make 150000% (or whatever).
The main thing that you can do when you’re searching for these kinds of coins is the following:
Assess the general crypto market for its strength. At the very least, is BTC trading above its 200 day moving average? If so, then maybe the market is enough in the mood for moonshots.
Find a coin with a strong Twitter presence — ideally, more than 10k followers (but exclude coins related to pro teams as those aren’t crypto followers, but sports fans)
Make sure you understand how the coins solves some real problem.
Make sure that the market cap isn’t too high. If you’re looking for a 100x coin and you’re starting at $1b in market cap, that’s unlikely.
Make sure that the coin doesn’t have a lot of coin dilution. To control for that, use the fully diluted market cap in your estimation (not the present market cap). That way your analysis already includes any possible dilution.
Pendle Finance (Pendle), for example, is a coin that has done a lot of this.
It’s a $170m fully diluted market cap coin—that’s generally too big for a moonshot, but it might yet reach $17b eventually = has the right tokenomics (points 4 and 5).
It allows regular traders to get a nice yield on their deposits, and it allows advanced users to make really interesting arbitrage trades =solves a real problem (point 3).
It’s got better than 60k Twitter followers = strong enough community recognition .
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