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Last updated:
August 9, 2024 01:03 EDT
Author
Joel Frank
Author
Joel Frank
About Author
Since graduating with a degree in economics from the University of Birmingham in 2018, Joel has worked as a financial market/cryptocurrency analyst. He firmly believes that emerging crypto technology…
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Last updated:
August 9, 2024 01:03 EDT
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With over a decade of crypto coverage, Cryptonews delivers authoritative insights you can rely on. Our veteran team of journalists and analysts combines in-depth market knowledge with hands-on testing of blockchain technologies. We maintain strict editorial standards, ensuring factual accuracy and impartial reporting on both established cryptocurrencies and emerging projects. Our longstanding presence in the industry and commitment to quality journalism make Cryptonews a trusted source in the dynamic world of digital assets. Read more about Cryptonews
A trader just turned an $895 investment into $321,000 overnight by investing in meme coins.As per a tweet by on-chain sleuth Kakashi, the trader invested $895 into $BTW on pump.fun, a popular meme coin trading protocol on Solana.They then proceeded to sell tokens worth $51,000, with over $265,000 left in their wallet.That means they are sat on realized and unrealized combined gains of over $320,000.Readers can check out the trader’s Solana wallet here: 4gVDRSy4UCvk85XsC2BMTbc66bM1BKeWPnMaK2scqDQ2.The above trade is an example of how traders can turn a small initial investment into a fortune in meme coins.In the above example, the trader bagged a 358x gain.Risks of Investing in Meme CoinsThe prospect of going from rags to riches in the meme coin markets is a major lure for traders.But trading coins like $BTW is highly risky. Most newly launched cryptos are either scams or pump-and-dumps.It’s far more common for an investor to lose their entire initial investment than see big gains.An investment strategy with a potentially better risk-reward is to invest in meme coin presales.FOMO is a big risk that traders face when trading new coins on a DEX like Raydium.When traders see the price shooting up, they often dive in and buy the peak without doing enough research.By contrast, presales usually last a few weeks.That means potential investors have plenty of time to research a project before they get involved, reducing the risk of making a FOMO-related mistake.And avoiding FOMO isn’t the only benefit of presales.Presales also serve to generate a lot of hype that can result in an explosive price move once the token launches.Better Option – Pepe Unchained (PEPU)Analysts at Cryptonews.com keep a close eye on the presale market.One project they think has a lot of potential is a new crypto called Pepe Unchained (PEPU).Pepe Unchained is a new Ethereum layer-2 protocol that aims to become the go-to blockchain for meme coin trading.Pepe Unchained’s token presale launched a few weeks ago, raising close to $8 million so far.See in the below video why popular presale analyst Jacob Crypto Bury thinks Pepe Unchained has 10x potential.
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
