Buying Low and Selling high, When to Buy?

[Captainsaudi]

Ever wonder people celebrating a project for doing several X but your portfolio is still in negative? Trading in general entails buying at a right price and selling at the right/desired price because the only aim of trading is to make profit. A lots of crypto newbies fall prey to buying the top and become exit liquidity for others. 

One important factor that we mostly ignore when buying a token is the Market cap (MC). Is mostly advisable not to buy when the MC is too high unless you are convinced. I know usecase, project team, community etc are other factors to be considered but MC is highly important and we mostly miss it out.  It is mostly advisable to buy when the MC is very low, i.e buying a token very early but one major problem associated with this strategy is spotting this project on time. Some Kols claim tracking whale contract Address (CA) is the way to go, others believe Defilama, Dextool etc help them, while some believe some exchanges listed early. Either ways, what are your strategies to buying low and selling high?

[Wakanda]

Your analysis are quite insightful but it's important to note that coins like BTC, ETH, XRP BNB & BGB have very high Mcap yet it's the top priority of traders and even newbies coming to the space. It all depends on individual perspective and level of patience, BTC and other tokens listed above can still do 10× or more in the next bullrun with such a huge mcap already. But for new start-up projects, aside the points you have raised, the calibre of cex that list them could also be a good factor because most times, this tokens get exposure when the secure top cex listing from exchanges like Bitget, Binance and Coinbase. A good example is SHRAP that was listed few weeks ago on Bitget. The token is currently bullish showing a complete variation from the initial listing price.

[BashJasper]

1 hour ago, Captainsaudi said:

Ever wonder people celebrating a project for doing several X but your portfolio is still in negative? Trading in general entails buying at a right price and selling at the right/desired price because the only aim of trading is to make profit. A lots of crypto newbies fall prey to buying the top and become exit liquidity for others. 

One important factor that we mostly ignore when buying a token is the Market cap (MC). Is mostly advisable not to buy when the MC is too high unless you are convinced. I know usecase, project team, community etc are other factors to be considered but MC is highly important and we mostly miss it out.  It is mostly advisable to buy when the MC is very low, i.e buying a token very early but one major problem associated with this strategy is spotting this project on time. Some Kols claim tracking whale contract Address (CA) is the way to go, others believe Defilama, Dextool etc help them, while some believe some exchanges listed early. Either ways, what are your strategies to buying low and selling high?

I like this your analysis of buying low with tokens on low Market cap especially projects with innovative utility like CHAPZ and some exchange token like BGB.

[XTRAVAGANZA]

On 21/11/2023 at 15:47, Wakanda said:

Your analysis are quite insightful but it's important to note that coins like BTC, ETH, XRP BNB & BGB have very high Mcap yet it's the top priority of traders and even newbies coming to the space. It all depends on individual perspective and level of patience, BTC and other tokens listed above can still do 10× or more in the next bullrun with such a huge mcap already. But for new start-up projects, aside the points you have raised, the calibre of cex that list them could also be a good factor because most times, this tokens get exposure when the secure top cex listing from exchanges like Bitget, Binance and Coinbase. A good example is SHRAP that was listed few weeks ago on Bitget. The token is currently bullish showing a complete variation from the initial listing price.

True, Bitget is reputable for listing low cap tokens quite early, thats why i always keep tabs on the exchange. For me, I use a combination of fundamental and technical analysis plus my knowledge on DeFi, to determine when to buy.

[Incarts]

On 22/11/2023 at 16:28, XTRAVAGANZA said:

True, Bitget is reputable for listing low cap tokens quite early, thats why i always keep tabs on the exchange. For me, I use a combination of fundamental and technical analysis plus my knowledge on DeFi, to determine when to buy.

Considering the fierce competition in the crypto industry and the fact that most projects aren't sustainable, finding low mcap gems has become somewhat difficult. This is where top CEXs come in, so when you see $ordi for instance trading on Bitget around $6 sometime around May, only to surge to around $22 six months later, you have to realise that the exchange’s team has done some filtration to maintain their reputation and provide users unmatched opportunities

[Captainsaudi]

On 21/11/2023 at 16:56, BashJasper said:

I like this your analysis of buying low with tokens on low Market cap especially projects with innovative utility like CHAPZ and some exchange token like BGB.

I understand your perception considering the fact that BGB is among 2023 top gainers chart of exchange tokens showcases the development rate of the exchange which further gives the token a bullish future and there a good token to consider. 

[Captainsaudi]

On 22/11/2023 at 16:28, XTRAVAGANZA said:

True, Bitget is reputable for listing low cap tokens quite early, thats why i always keep tabs on the exchange. For me, I use a combination of fundamental and technical analysis plus my knowledge on DeFi, to determine when to buy.

TA and FA are very important before buying any token because it gives you a clearer view of the performance of the token in the future and helps you in deciding either to hold for long or sell at the right price. I agree that Bitget has been a front runner lately in spotting and listing good tokens very early because I have spot some good gems there lately.