Are you tired of buying memecoins that never seem to take off, or watching the ones you didn’t simply skyrocket in price? Early investors make the biggest gains when a new meme coin blows up. These investors tend to get in before the broader market does when its market capitalization is small and the prices are their lowest.
Well, being able to get into a cryptocurrency at its early stage is not just a stroke of luck as there are several strategies you can use to find meme coins with the biggest potential. This article is a guide to finding meme coins before their boom, where we cover some proven techniques.
1. Search Memecoin Presale Events
According to experts, presales are the overall best way to find new memecoins ahead of time. These events are also known as initial coin offerings (ICOs), where the project raises capital from investors to fund initiatives.
Crypto presale events are in many ways similar to initial public offerings (IPOs), which allow investors to buy shares in a company before it is listed on stock exchanges.
Here is how the process works:
- The meme coin project will first launch its presale campaign
- Investors will be able to purchase newly minted tokens before being made available to the public
- Investors purchase the tokens using popular cryptocurrencies, which are often Ether (ETH), Solana (SOL), Bitcoin (BTC), or Tether (USDT), depending on the blockchain chosen by the project.
- The purchase is made by connecting the investors’ self-custody wallets to the presale campaign website
Presale events are an opportunity to purchase any cryptocurrency at its best-discounted price. This incentivizes buyers to enter the market early, however, there is increased risk in this action as presale tokens have no trading history.
Furthermore, presale tokens have a smaller market cap as they are just starting, but have the potential to be valued in billions of dollars. Even popular meme coins like Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) made their way through presales to reach the point where they are now.
Investors will receive the meme coins they purchased once the presale campaign ends. A few days or weeks after early investors get their hands on the tokens, they will be listed on decentralized or centralized exchanges.
2. Keep an Eye on Crypto Launchpads
The next popular way of finding out memecoins with high potential is through token launchpads. These platforms are in many ways similar to presale campaigns, where investors can get access to a new cryptocurrency before they are listed on exchanges.
Where launchpads and presales differ is in the way they are implemented. Launchpads are conducted on third-party platforms, like a crypto exchange, where the cryptocurrency isn’t being sold directly by the trading platform itself. Launchpads are also tasked with pre-vetting the tokens they list.
Launchpads offer an extra layer of safety for investors, as the platforms conducting the event will do due diligence. This also means that investors must complete KYC procedures, and there are also limitations imposed on how much money can be invested via a launchpad.
3. View Coin Aggregators
Coin aggregation websites are another popular way of exploring new memecoins early on. These platforms aggregate data sourced from exchanges, yielding a wide range of interesting trends and insights.
Platforms like CoinMarketCap, DEXTools, and DEX Screener list cryptocurrencies before they explode in popularity. On coin aggregators, investors buy cryptocurrencies based on identified trends. Buyers can filter through various options to narrow down their interests, helping them discover new memecoins that align with their investment goals and risk tolerance.
A drawback of coin aggregation sites is the sheer number of available cryptocurrencies. For reference, DEXTools has listed over 7.8 million tokens, while DEX Screener has over 127,000 token pairs to trade in. Since there are a significant amount of data points, it is advisable to consider using third-party tools to streamline the process.
4. Use Crypto Whale Trackers
Tracking crypto whales is one of the easiest ways to discover new meme coins early on. Whales are successful crypto investors who allocate substantial funds when purchasing cryptocurrencies. They are important to follow because they have strong convictions in their investments and can often influence the broader market.
For instance, if a whale invested $250,000 in a newly launched cryptocurrency, it will provide the token with validity and a stamp of approval. Other traders will see this as a sign to invest in the project themselves. What this does is create a domino effect encouraging more people to buy into the cryptocurrency.
Following a crypto whale early on allows buyers to get the lowest entry price before the coin blows up. Crypto whale trackers are useful because they keep an eye on the multiple wallets controlled by whales, enabling buyers to strategize before making an investment decision.
5. Follow Crypto Influencers
Another proven method of getting early into a meme coin is to follow crypto influencers and key opinion leaders. These influential personalities heavily involved with cryptocurrencies can be found on social media platforms and have a large audience with a trusted reputation.
Crypto influencers are experts in the field, and following a presale or launchpad recommended by someone with a proven track record can pay dividends. Most influencers also recommend memecoins they have personally invested in.
Final Thoughts
Finding meme coins with high potential is about having a clear strategy, managing risk, and being patient. By utilizing the right tools and tactics, you can increase your chances of finding the next big meme coin in the market.
Always have an exit strategy and be mindful of investing more money than you can afford to lose.
Happy trading!
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