What is a Shitcoin and how to profit from it. - Crypto Academy / S5W8 - Homework post for Professor @nane15. by @abdu.navi03
Hello everyone how are you all doing? I hope fine. I warmly welcome you to the 8th week of the 5th season. This is my second beginner's course of this season.
In this lecture by Professor @nane15 , we learned the basics of Shitcoins
A sit coin as the name indicates represents a currency or a coin that was created without any purpose and has some super high volatility and can be overpriced instantly.
You may be mixing shit coins and meme coins yet it's not true. Because we can not say that if it is a meme coin so it must be a shit coin. There are some meme coins that have a very strong supporting project. So now you may be wondering what is a shit coin? I've already given you a hint. So I'm gonna give you a proper detail about the shit coin.
Anyone with some expertise may now establish a coin like a cryptocurrency; all they require is a little sum of money and a little engagement to monitor a few simple procedures which can be found on the web. As a result, numerous currencies have appeared in the crypto market that are just looking to scam the users by manipulating their prices, catches the eyes of the investors and when they invest their money, the shit coin finally disappears with all the money of users
As we know that currency is absolute digital and every person contributes to its development and when many people contribute, it creates tough competition but a shit coin is a currency that is created without any technical analysis, so that's why it can be the worst scam you would ever face
There are various cryptocurrencies that might be referred to as "Shitcoins," with "Dogecoin" being among the most well-known. When Elon Musk revealed his support with Dogecoin, the price skyrocketed, as well as the market cap exploded in April that year. It caught the considerable interest of people from all around the world. The Dogecoin was merely a clone of the Bitcoin script with a logo of Shiba Inu added to make it funny, and it has been noted immediately on in its creation that such a coin seems to have no ideals or long term plans. All of this was done solely to mock bitcoin so it was the first-ever known shit coin that became very famous.
So I would conclude that before investing your money in any coin, you should check out the Whitepaper of that cryptocurrency. Just by looking and observing, you would know that whether this crypto coin has any purpose, future plans, or not and if the project is strong enough or not. But if you don't find any purpose of its creation, that is simply a shit coin and it will create confusion, so better stay away from such scams.
Of course yes, a shit coin can create a huge profit in no time. If it can cause no profit, so why would it be so famous? But if a shit coin can make huge money it also has some extraordinary risk. It can completely make your investment into Zero.
One should not invest big amounts or for long holds, rather invest your little money in the shitcoin at the right time, make huge profits and immediately exit the market, because as the price raised instantly, it will also come down immediately. Yes, there are many shit coins which can give you huge profits up to 1000% in a very little time. So keep your investment dor short term and increase your research to find the best point for entry and exit to gain profits.
I would say that it is extremely feasible to earn through investing in Shitcoin; nevertheless, there are various factors to observe before investing in any Shitcoin, since Shitcoin may vanish or be taken out of the market at any moment. So, first and foremost, examine the market potential of the Shitcoin; and never be greedy to wait for the price to make you billionaire instantly, just take big profits and immediately exit the market because as the coin price raised, it will also come done instantly.
As I have already discussed the answer to this question is that the shit coin has the potential to make you big profits and there is also a very little chance that it can make you a millionaire overnight, but it also has certain drawbacks. We can not trust a shit coin for the long-term future because there's a chance Shitcoin will lose value unexpectedly. Before investing in Shitcoin, it is crucial to keep in mind all the highs and lows of the shit coin.
So if you would ask my opinion, I would suggest you invest only the amount which you are okay to lose. Because as the shit coin can make you a millionaire overnight, it can no doubt make your investment zero. I would suggest you invest only 5-10 % of your investment in the shit coins. Choose any 10 shit coins which you found attractive, on different social media memes, posts, tweets and invest 1% in all the 10 or 5 coins and Wait for Luck. In this way, if one or two coins disappear from the market, it will not cause much loss to you and you can easily recover your 1-2% investment.
As I previously said, investment has a number of benefits and drawbacks.
ADVANTAGES
Huge Profit: We may get a great good return assuming we invest at the right time because Shitcoins begin to grow with enormous return percentages, which is one of the things that makes them so appealing.
Affordable: Coins like shitcoins are typically very cheap and can be afforded by anyone, and they often have a poor value to invest in so we can buy a lot of the coins because of the cheap price
less investment, more money: As I have already discussed that you should invest 1% of your investment in 10 different shit coins, so if even one or two of them explodes, you not only recover the money you invested in different shit coins but also make a good profit.
Profit in short time: If a trader is experienced, no doubt he can make huge profits just by investing at the right time. If he is able to do this, he can make profits in a very short period of time.
DIS ADVANTAGES
Scam: The worst thing about the shit coin is the name itself. It is the biggest shit. It may be disappeared at any time and all your investment can be gone at once
Disappearance from the exchange: The shit coins are not known by many people so they have a very low market cap. They can be easily fully liquidated and the exchange does not have many benefits from these coins so these coins can vanish at any time.
Only for Short Term: The shitcoins are just for a limited period and can be taken away at any point. As a result, one should only invest money that he is okay to lose.
Rapid fall of Price: Ast the price of shit coins can increase drastically, so of course there is a chance that the price of the shit coin can fall rapidly, wasting your investment.
There are many coins that have been scammed in recent past years. I will discuss three of them.
1-SAVE THE KIDS
Save the kids was a scam project started after promotion by e-sports team FaZe Clan and their members. The scammers started it as a campaign to save the kids around the globe. For this purpose, they hire some new wanna-be influencers and new wanna-be crypto experts and make them advertise their scam coin. As it was a humanitarian project from the outside many people invested and influencers also helped scammers to gain the public. After a few days of launching, the team that founded it and the major holders of tokens, sell their tokens or coins and ran away after shutting down the project. They had a website and some publicity stuns too to prove that they were really helping the children around the globe.
They started the project on Binance smart chain and had an address which was 0x7acf49997e9598843cb9051389fa755969e551bb
In this screenshot, you can see that there’s no information about the project.
2-SQUID COIN
Squid is one of the most popular words of 2021 because of two reasons. Once there’s a South Korean show launched on Netflix and gained popularity, many peoples watched it, and become one of the most-watched series or shows. The second reason is after the gaining of popularity in the world there’s a currency pop-up named Squid Coin. This coin needed not much marketing as everybody was familiar with it and people invested too much in it. This false token, in a matter of weeks, touched $3000. That’s a huge amount because Etherium, one of the most popular coin have this much value. However, after a few weeks, the team pull their rags and went ghost. Moreover, they block the buying and selling by abandoning the project. This means people who have bought it couldn’t be able to sell it because they brought the value to zero by selling all their assets.
This project is also formed on Binance smart chain network. The address is 0xd016175f7b05903074b4f0779546301caf6b3599
3-MILF TOKEN
MILF token was a totally blunt scam project yet people invested in it. They had no proper address or exchange but yet people invested. Why? Because they hire a streamer from twitch, by the way, the streamer Adin Ross is famous for promoting scams and Ponzi schemes. However, he promoted it and it pumped up almost 98x but after a few days, the team and the people behind it abandoned the project. In the live stream on twitch Adin Ross stated that he knew it was a scam, he got a bag of money to do it and that is why he promoted it. He also said that “he wishes” none of his watchers buy that shit coin
This project is also formed on Binance smart chain BSC and the address is 0x6378B5288d2B812d7F5fE7d79bAFA0576Ed51c01
The two successful shit coins other than dodge and shiba inu are;
1–MAGIC INTERNET MONEY(MIM)
Magic internet money or MIM is a token that has been launched on an abracadabra ecosystem with no backing initially. But now it's been $1 and has a considerable trading volume.
ABOUT
Price=1$
Address(etherium)= 0x99d8a9c45b2eca8864373a26d1459e3dff1e17f3
Market Cap Rank= #38
Market Cap= $4,586,866,704
Trading Volume= $225,405,777
24H High = $1.01
24H Low= $0.99
Available supply= 4.6 Billion
Total Supply= 4.6 Billion
Market Supply= Unknown
All time High= $1.04
All time low= $0.9
All time high date= October 06,2021
All time low date=December 04,2021
2-DODGELON MARS
It is a coin formed very strategically. It is a meme coin but includes three things in its name. Dodge, Elon, and Mars. Its popularity is solely based upon an innovation all personality, the world's richest man, Elon Musk. Elon Musk company recently announced that they will sell their merchandise in Dodge meme coin. Which ends up the increase in the price of dodge coins. And Elon Musk aims to colonize Mars.
ABOUT
Price= $0.00000132
Address (etherium)= 0x761d38e5ddf6ccf6cf7c55759d5210750b5d60f3
Market Cap Rank= #135
Market Cap= $736,586,908
Fully Diluted Valuation= $1,325,177,526
Trading Volume= $15,0410283
24H High= $0.00000136
24H low= $0.00000130
Available Supply= 555840.2 Billion
Total Supply= 1000000 Billion
Max Supply= 1000000 Billion
All Time High= $0.00000259
All Time Low= $0.000000017563
All time high date= October 31,2021
All time low date= April 23,2021
For a historical analysis, I will choose the Dodgelon mars coin or ELON token.
In the above screenshot taken from CoinMarketCap, we can see that the price of Dodgelon Mars is very volatile just like any shit coin. Because of that, we can now be sure that this coin is just pumping and dumping thing where whales and Kraken control the market and the price of an asset, they pump it, and when people who wanna be millionaires in a night invest their money in this kind of shit projects shit pump value, the whales or big players take out their money and leave these wanna be millionaire traders into drastic condition.
What happens there at the biggest line. However, this ELON coin came into existence on 4th April 2021. As it contains all about the richest influencer and innovation itself, this coin gain popularity in just a few weeks. People who didn’t want to miss as they dodge and shipping, invested their capitals into it and it raised tremendously. But that was not it. Some big fish in the pool pull back their money and sell a large amount of this meme coin. That brought its price to the earth again.
In the second bull that occur on 31st July 2021 price formed an all-time high. But in a couple of days, another big player takes an exit from the market and the coin again ends up on earth. Since then it showed progressive growth and normal Pumps and Dumps. This coin hasn’t been listed on Binance yet. Listing on Binance can really enhance the price and stabilize it. Just like it did with Shiba Inu
It is almost impossible to predict crypto markets as they are highly volatile and controlled by people. As it is controlled by people and their demand any event that occurs in the world influence the price. Such as the recent Kazakhstan 🇰🇿 event that is the reason for the current bearish trend. Or such as Elon Musk tweets that be the reason for bullish trends. However, in any case, scenario, the prediction is as impossible as considering these shit coins, not shit. But I’ll try to do some analysis
The year 2021 has been the best year for cryptocurrencies as many people take entries, many countries regularise it and many big names and companies make their entry into the market such as PayPal. But it results in many scams as well. So the crypto did boom in the year 2021 and I do really think that it will boom in 2022 as many countries will regularise and accept it too. After the popularity of metaverse and NFTs Web3.0 is ready to boom too. Therefore I think every crypto asset including shit coins such as Dodgelon Mars or ELON token will boom too. And it has such capacity that one tweet from Elon Musk can really take this coin to Mars. It is still far away from all-time high but in my opinion year 2022 will be good for it and it may go to 100x (let's pray for it because I’ve bought it👉👈)
CONCLUSION
Shit coins are like lucky draws. You risk money on it. Because there’s a high chance that either they’ll be a scam or either in pump and dump scenario traders with low capital will lose. Therefore it is highly recommended to invest only that amount of money in these coins which you wanna lose. Or either invest very few amounts of dollars. As invested $10 in Dodgelon Mars or ELON coin.
Shit coins are highly volatile and a plaything for a rich club of the market. The whales control them and conclude profit. But not every shit coin is like this. We have examples of dodge and Shib which not only boom to 100x and more but are also stable at that price. This indicates that in these pumps and dumps general public was in charge and constitutes of people with low capital.
Shit Coins are good for-profit but they hide the real reason for cryptocurrencies. The real reason why Satoshi Nakamoto created the BitCoin network was to escape from the monopoly of banks. These Shit coins somehow hurt the traders and the people who came into the market and they never return to it for a long time. And the only winner in this scenario is the banks who won without playing any single card.
I hope I was able to meet all the objectives of this task as I put in all my efforts. So this is the end of my assignment. I hope you were able to grasp the basics of my lecture.
THANK YOU.
ps: All the pictures have been sourced accordingly. The grammar was checked from grammarly.com while the markdowns have been done according to the Markdown Styling Guide.
Cc;
professor @nane15
regards,
@abdu.navi03
@steemcurator02