How to pick other promising altcoins

in #cryptocurrency6 years ago (edited)

Today we are going to talk on how to pick promising coins.

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Source: https://github.com/shphrd/crypto-icons

There are many factors that can be used to pick on promising coins. Some of them are:

1 - Project analysis. Regarding this subject, we can say that, before jumping into a coin, its whitepaper should be analyzed and it must answer some questions such as: Does it really have a product? (Does it solve a really big problem or issue people have?), When was the ICO conducted? What whas the bounty program on the ICO?

2 - Is it listed on major exchanges, such as Kraken, Coinbase, Poloniex? (I personally trust a lot on Poloniex, because their analysis is really strict before listing a coin), Who are the people behind the project?

3- How old is the coin? This also afects its profitability, once the major coins take around 3 years to start having a strong evaluation in price.

4- What kind of proof does it have? POW? POS? POT?

5 - What kind of blockchain technology does it use? E.G: Graphene, etc?

6 - Which coin is it directly related to? If it is related directly to ETH, there's a good chance of being a good project (of course, if all the previous questions were able to be answered in a satisfatory way).

7 - What's the roadmap of the coin/token? Is it being followed, or does it have any delays on the project? And if so, why is the delay happening?

8 - Market's news. Some news on the market might affect directly (or indirectly the coin). It worths to be tuned to the market, and try to forecast possible problems upfront.

9 - Fees. Fees are usually strictly related to scalability problems, which is intimate related to the blockchain technology adopted in the project.

10 - Marketcap. What is the current marketcap? Is it growing in % of the global marketcap? This is also important, for it shows the financial sustainability of a coin.

Well, I guess those are the most important topics that should be answered when picking a coin. I hope I could help other, by expressing my point of view, and trying to stabilish a more criterious choice of the coins we can hold.

Please feel free to make any comments, upvoting or resteeming this topic! This will help me a lot to carry on producing nice content for you!!!

Other posts on this series:

How to build a bulletproof cryptocurrency portfolio (101) - https://steemit.com/cryptocurrency/@aotearoa/how-to-build-a-bulletproof-cryptocurrency-portfolio-101

What is a bulletproof cryptocurrency portfolio and why should you have one? - https://steemit.com/cryptocurrency/@aotearoa/what-is-a-bulletproof-cryptocurrency-portfolio-and-why-should-you-have-one

Which coins I recommend to be stored and their distribution -
https://steemit.com/cryptocurrency/@aotearoa/which-coins-i-recommend-to-be-stored-and-their-distribution

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