Topic: How to find and hold in Atlcoin effectively? - page 4. (Read 587 times)

Community, tokenomics, fully diluted value, use-case, uniqueness, transparency, developers.

These are just some of the factors that might affect my decisions on whether an altcoin is a coin to hold for the long term. It will be a different case if I buy an altcoin and hold it for the short term because, in the short term, I believe that hype is better than fundamentals or whatever factors it is. The way investors think is very different, and it depends on how long they will hold that altcoin. As for me, I'm buying an altcoin that has been in the market for quite some time, survived during the bear market, and has a huge community behind it. After all, I will just sell all of my altcoins at the peak of the bull run (if lucky).

Just always take note that the lower the market cap, the higher the risk, and vice-versa. Just think that not altcoins on the top are good long-term coins to hold as well. I guess what I also say is that, always be ready in whatever may happen because you might see your token plummeting by -80% or even more because the token you bought is a scam coin.

As most of the members mentioned the best way to judge the altcoin project is the best way to examine the project is it a scamming project or a strong project for all that you have to stay up-to-date about projects well these days there are alot of new projects in the market just come for earing from its investors at the starting point they make hype in the market to bring interest the investors so that investors come and invest in the hype making projects but after some time/days when we see at the price it start to go down and dwoner day by day which shows that the project was totally planed to come in the market for earning purpose from its investors.

There are some projects you can check out there in the market which was recently listed and at start, they make good hype and starts to go down day by day which represents the project is shit and scamming project. So, it is very important to DYOR before investing in any of the altcoin. Many Thanks! DYOR.

  

It takes patience in exploring every detail of the information we need to make a decision before choosing to invest in altcoins. Especially in fundamental analysis. I personally prefer to look at who or what company is behind the project or funding the project. Because usually if a project is funded or has large corporate investors like Binance Labs or something like that then the potential of the altcoin will really be visible without even having to see who the team is behind it. But it's better to know the team behind it. Because a dev's profile can be important information for a project. For example, WLD has recently had an increase because this coin has a fairly well-known Dev in OpenAI's ChatGPT.

Are you serious? how can you find good projects if not from the results of complex research, this isn't about perfectionism or not, but there's money that we'll put in here and to maintain value or increase value of course requires complex research. Then about the important criteria you mean, what are they? I think it's better for you to explain it rather than making ambiguous statements.


What MM do you mean here is Market Maker? or another term?

Making a decision on investing on altcoins is very easy to achieve, but seeing a reliable coin to invest into is very difficult, if you also made an investment, you must monitor it, some are good to hold for a long time while some were at risk if you're holding them for long, but the best idea here to suggest is in giving a decision to always begin your investment with bitcoin before diving into any other altcurrencies, so that if any shady stuff should occur, you will always have where to fall back on for recovery.

There are countless of altcoins in circulation out there and many more are being released every day. It may feel tedious to sort out different altcoins and like you said it might feel overwhelming that you might want to give up at some point.
I suggest putting up a plan first.

Do you want to trade or hold? What are features that you greatly value? Do you value privacy more than other utility functions? Maybe you are techy and would want to focus on the blockchain it operates on. I think being able to build of what exactly you are looking for can help you sort out the exact kind of altcoins you may want to focus on. Altcoins have different types as well from memecoins to DeFi so being able to single out a specific type is essential.

A lot of altcoins often end up being scams so there should be an extra step to check everything to make sure that you do not regret later on. Do not be blinded by flashy words and big promises especially by newly launched projects.

It is also helpful to build a long-term plan. Identify at what point should you buy or sell to minimize risks.

You made a good point, generally, it is not advisable to hold altcoin because the projects are very confusing to understand, the possibility of any altcoin to appreciate in price is slim unless in this bullrun that bitcoin has already make a lead, personally I don't see altcoin as a long-term investment because you might invest today and wake to see that such coin does not sexist again so where is the hope, like I always say people should see altcoin investment as way of diversifying a little of their fund to make little profit if possible but don't put your mind much so that you will not be disappointed, as you have already said @Dr Bitcoin_Strange, many project will flood the internet this time because of this bullrun but I believe crypto enthusiast knows what to do in other not to get into such trap.

IMO you cant really get anywhere by doing research on altcoins, cause I've seen many altcoins with good background and all the hype still go flat and end up beign a shit project, what I do myself when I want to invest in altcoins is that I just go for exchange altcoins like bnb, Ethereum, tron and all that although they might not give you the kind of return of investment you are expecting but at least this are well filtered coins with reputation to keep.

I also go for others but i just follow the hype and do a little research myself, but I'll try implementing your strategy to see where I gets me. Investing in Altcoins is risky and everone should have that in mind.

Yep, these are also aspects we can consider to find a good ALtcoin. Searching to find an Altcoin that we can safely invest in for the long term is a process that requires in-depth digging, there are many criteria we can set to choose, and sometimes we just need to meet a few important criteria, we can think about investing to them. It is not necessary to ensure all criteria. This is very perfectionistic and sometimes we will miss a lot of good growth projects.
Using Marketcap to compare 2 projects is the simplest and most intuitive way. Besides, we can consider many other factors such as the community, TVL, investment funds and who is the MM team behind them. The most obvious examples are Arb and Op. Maybe in terms of technology ,community and Arb's TVL is superior to OP, but the investment fund behind Op is not much and not spread out like Arb, so it will be easier for MM to set up to push the price than Arb. You should combine many screening criteria to make the most reasonable choice.

It is almost impossible to find new altcoins for long term investments, altcoins are generally short term projects, and that's most especially the new projects that lack any utility. I am afraid that one can go through all the steps you mentioned in your OP and still end up buying a scam/worthless project and that's because it is pretty difficult to find a new project that is sustainable for the long term.

Having said that, because of the lack of utility in altcoins, i buy only Bitcoin, but if i must advise people on altcoins, i'd tell them to purchase altcoins that have been in the market for sometime and already have a "strong" community.

Well, I am quite convinced with what you have said, but AFAIK, altcoins are usually very unpredictable, and therefore, it is not too good to invest and hold for a long time. Some altcoins could get developed at a time when the Bitcoin halving is just a year away, and the reason why some project owners take such a strategy is so that their project can just get influenced by the Bitcoin bull market and get pumped, after which it will again be dumped, and from there, the project will just lose its value. Someone can actually take all those steps that you have explained, but they can still end up investing in an altcoin that will not generate any profit for them. Anyone who is investing in altcoin should invest with caution, with the money they can afford to lose, because there are some projects that can look very promising and also have a good vision and road map, but on the long run, they will just crash.

In fact, to find potential projects, we have to carry out complex research, which means there are many aspects that need to be looked at. I have my own way of identifying a project, as follows:

1. Looking at the fundamentals
2. Looking at the teams
3. Looking at the investors and backers.
4. Looking at the tokenomics.
5. Looking at the community

The 5 points above are just headlines, we need a long discussion to explain them 1 by 1.

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To compare 2 altcoins from the same category, you can use Marketcapof, there you will easily get multiples by comparing the MC of 2 projects.

This is my process for finding an Altcoin (new project) for long-term investment, it will include the following steps:

- Step 1: Filter out reputable platforms or tokens of reputable projects. In this first step, let's just list all the platforms that you are interested in or projects that others talk a lot about in the community. Don't worry if it's too much, we will filter them again in the following steps.
- Step 2: Analyze the token usecase, tokenomics and how each project operates to see where the development team and investment fund will make money if they later sell the tokens. This step will be accompanied by determining the time when the project will unlock a large amount of tokens for investment funds, because normally before unlocking, they will have to push up the price to create liquidity for their funds to sell tokens.
- Step 3: Find a nice entry, price it right by comparing with projects that are similar to the project you are aiming for (for example, layer 2 array if you are planning to invest in ARB, you can compare it with OP ), from there you can estimate what capitalization level is reasonable to buy.
- Step 4: After completing the above 3 steps, you may have chosen a few Altcoins. At this step, you must determine how long you will hold it? Until when? When is the right time to hold for the long term instead of just trading for the short term? For example, before a really strong Altcoin season takes place (according to my prediction, 2025), the Altcoin price in the previous period will be greatly depressed, and the Alt/BTC pair will find the bottom a lot. So if you hold Altcoin too early, you may not be able to optimize profits and psychology instead of holding BTC.

In short, choosing a new Altcoin for the next growth season is very important, requiring patience and research from you. But besides that, determining a reasonable holding period is equally important. If you hold too early, you may have to endure losses for a period of time, and this is the time for many people lose patience leads to losing stock before that Altcoin really enters its growth cycle. Ignoring temporary losses to hold until achieving results is a difficult job, not everyone can do it when holding Altcoins, because often during this period there will be a lot of Fuds to depress the price. Therefore, choosing a reasonable holding time will eliminate these negative psychological effects, making it easier for you to hold.