Investment Strategies in the MEME Craze: Focus on Chips and Control Risks

The super cycle of the MEME craze: focus on chips, seize opportunities

In just a month recently, the market has experienced multiple rounds of MEME token booms. From the $GOAT in the AIMEME field, to the $MOODENG in the pop culture circle, and then to the $BAN themed around art auctions, there is almost a new popular MEME token appearing every day.

In this rapidly changing market, the PVP (Player vs Player) in the short essays always depicts the story of the victors, telling how to earn 100 or even 200 SOL from 1 SOL. However, those who have actually participated in such battles understand that behind every successful individual, there are often hundreds of losers.

Although some people attempt to summarize the secrets to success, such as focusing on the previous project performance of developers, evaluating the depth of liquidity pools, and following the trends of smart money, there are still very few who can continue to win. After all, very few can deliver faster than the project parties.

Looking back at this market cycle, the rhythm of MEME tokens has run through the entire cryptocurrency period. The market has evolved from the bottom up, and retail investors seem to have achieved the "fairness" they sought, no longer chasing projects supported by traditional venture capital or high valuation stories.

On the surface, the market seems to have become fairer, but in reality, traditional investors have merely shifted from the front stage to the back stage. Emerging market makers like GSR and DWF Labs have become the new darlings of the market. Even the success of GOAT cannot be separated from the endorsement of well-known venture capital. Ultimately, the market is still dominated by large funds.

In such an environment, ordinary investors should take a perspective from the previous cycle, focus on the flow of funds, and only invest in leading projects. From a broader perspective, when the Bitcoin market is performing well, the MEME chain market is more worthy of attention. However, when the overall market sentiment is sluggish, the wealth generation effect of MEME projects will significantly weaken, as large funds will remain cautious.

Currently, the market liquidity is not insufficient, but rather too dispersed. There are various player communities on multiple chains such as SOL, ETH, and BASE. Among them, the MEME projects on the SOL chain are more accessible, generating more popular trends, but at the same time, the PVP is also more intense.

For projects on the SOL chain, it is recommended to focus on those MEME tokens that have already gained popularity on social media and have been listed on decentralized exchanges for more than a day. This can help avoid the most intense PVP phase. The ideal buying opportunity is during the second pullback, or during the pullback period after the popularity has formed. However, be careful not to buy the same coin more than three times during pullbacks, as opportunities are often fleeting.

Remember, the hot spots are attention, but the right buying price is more important for maintaining a good mindset and holding confidence. Timely profit-taking is the eternal path to profitability. In the current market environment, narrative themes may change every month; there are no eternal hot spots, only continuously flowing hot money. When participating in MEME trading, attention should be focused on the chips, which is the correct attitude.

MEME investment tool recommendation

1. Tool to check the number of holders
2. On-chain monitoring, smart money, social data analysis tools
3. Tools for discovering potential blue-chip projects

In the MEME market, these tools can help investors better analyze and seize opportunities. But remember, tools are just aids; the final decision still relies on your own judgment and market insight.