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Discover the Top 10 Guidelines for Identifying Future Crypto Gems – Part 2

Discover the Top 10 Guidelines for Identifying Future Crypto Gems – Part 2

How to Find Your Next Crypto Gems for the Bull Run

If you’re a crypto trader, you’re probably looking for the next token that will give you massive returns during the upcoming bull run. Picking the right project can make a significant difference, especially if this is your first bull run. To help you in your search, experts have shared some strategies to spot potential crypto gems that could bring in the profits you’re hoping for.

Avoid Projects With Frequent Token Unlocks

Frequent token unlocks can cause price slumps, so it’s generally considered a red flag. Additionally, be cautious of projects with very low circulating supplies as increasing supply without matching demand can lead to a price decrease.

Source: CryptoRank

Avoid Tokens Where VCs or Angels Have a Lower Entry Price Than Others

If investors’ tokens are about to unlock and the token is trading significantly higher than their entry point, there’s a possibility they will sell and dump the price. It’s best to stay away from such tokens.

Don’t Fail to Participate in ICOs

ICOs (Initial Coin Offerings) are where new blockchain projects raise funds by issuing new tokens. While new projects are risky, they also have potential. Participating in ICOs during a bull market can allow you to acquire tokens at cheaper rates.

Check Market Caps and Compare Them With Others

Market cap is an important metric for comparing the values of different cryptocurrencies. It can reveal a cryptocurrency’s growth potential and whether it’s a risk-free investment compared to alternatives. Large-caps, mid-caps, and small-caps are the three divisions of market caps.

There are three divisions of market caps: large-caps cryptos, mid-cap cryptos, and small-cap cryptos. If a market cap is too large, the potential profit may not be significant.

Select Your Tokens Based on Narratives

Tokens often surge based on their narratives. For example, DeFi coins were big winners in the last bull market. Study the narrative you believe will trend and select your crypto gems accordingly.

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Discover the Top 10 Guidelines for Identifying Future Crypto Gems – Part 2