DOGE Altcoins: 5 Alt-Doge Coins to Know for Summer

Last Friday, I launched Momentum Master — an idea of shopping for cryptocurrencies utilizing a easy set of technical evaluation guidelines.

Source: Igorevich

In brief, don’t purchase momentum belongings in the event that they don’t have… nicely… momentum.

That explains #SafeMoonSqueeze’s muted reception final week. Much like final April’s #DogeDay occasion on Twitter (NYSE:TWTR), the concerted effort was met with an enormous fats investor yawn. Creating memes is one factor. Getting others to commit real-life cash to a made-up asset is kind of one other.

I’m not ruling out an eventual return of SafeMoon (CCC:SAFEMOON-USD). Stranger issues have occurred. But SafeMoon wants excess of a wily Twitter marketing campaign to restart curiosity.

Today, we’re going to check out 5 alt-Doge cash that may do higher.


Rising Stars: The Alt-Doge Revolution

Earlier this month, crypto investor Chris Williamson turned an unintended trillionaire after a Coinbase (NASDAQ:COIN) glitch misquoted his $20 Rocket Bunny funding by a decimal level or 10. While Coinbase quickly corrected the error, many different alt-Doge traders have seen equally lopsided positive factors.

There are all the time realists, after all. Tyler Cowen at Bloomberg not too long ago printed a chunk titled “What the Crypto Crowd Doesn’t Understand About Economics.

“Many of you don’t perceive financial economics very nicely,” he pooh-poohed. “First, the greenback shouldn’t be on the snapping point, nor will it’s changed by a crypto asset. … A second level, oft uncared for within the crypto neighborhood, is that crypto costs received’t proceed to go up endlessly at excessive charges.” And maybe that’s true for mega-cap Boomer Coins.

But individuals shopping for altcoins (notably Sh*tcoin aficionados) aren’t precisely attempting to act like economists. Consider Exhibit 1.

Instead, these speculators are shopping for lottery tickets. It hardly issues that these tokens have just about no real-world use. If it appears to be like like the following 1,000x Dogecoin (CCC:DOGE-USD) or Safemoon, punters will wager no matter they’ve.

I’m not going to fake as if I can predict the following trillion-dollar winner. There are 1.1 million Ethereum (CCC:ETH-USD) and Binance (CCC:BNB-USD) tokens out globally, and solely 705 (or 0.064%) have a market capitalization above $1 million.

But I can offer you some patterns that tilt the percentages barely extra in your favor. After all, 0.064% remains to be a one-in-1,560 likelihood of selecting a winner — far larger than the one-in-844,512 odds of profitable $50,000 within the Powerball lottery.

  1. Copycat Names. Alt-Doge traders are a unusually conservative bunch when it comes to shopping for what they know. So Shiba Inu (CCC:SHIB-USD) will naturally outperform one thing like Lamp888Token.
  2. Cult Following. Tokens depend on content material creators to unfold the phrase — the extra rabid its fanbase, the better the prospect of making viral memes.
  3. Momentum. People purchase cash which might be going up, so I received’t contact something that hasn’t proven no less than a 40% worth improve in latest weeks. (See final Friday’s electronic mail for extra about momentum).

That helps slim the sphere significantly.

  1. BabyDogeCoin (CCC:BABYDOGE-USD). “If you want Doge you then’ll fall in love with Baby Doge Coin,” the token’s web site proudly states. They actually have some extent; the Binance token has already amassed 50k followers on Twitter and has 100,000 holders. Its comparatively small $23 million market cap additionally provides this a possible 100x upside.
  2. Shikoku Inu (CCC:SHIKO-USD). Crypto copycat builders have wasted no time in creating the following Shiba Inu / Dogecoin lookalike. SHIKO is especially egregious, copying 97.1% of SafeMoon’s underlying code (which itself is a reproduction of RFILIQ). It even brings a few of the spelling errors of the unique work. Perhaps it should have a few of that worth magic too.
  3. Rabbit Finance (CCC:RABBIT-USD). The leveraged yield farming token has amassed 85k Twitter followers in stunningly brief order. With yield farm APRs exceeding 100%, it’s not arduous to see how crypto speculators would possibly flip this new animal into the mascot of the crypto kingdom.
  4. Goes Up Higher (CCC:GUH-USD). Some builders have totally embraced the shoulder-shrugging motive why cryptos go up. However, GUH’s workforce has taken it to one other stage. By burning consumer tokens, GUH ought to theoretically sometime attain Bitcoin’s price-per-coin.
  5. Bonus: WTF Token. Walnut.Finance turned heads final week when a tank-top-wearing fan took to the Belgium/Finland Euro 2020 discipline. “Sporting a swimsuit and selling an internet site known as ‘WTF Coin,’ … the lady jumped the gates and jogged onto the sphere.”

Are these cash price something? Probably not. It’s arduous to think about a world the place copycat tokens do a lot for society.

But is placing in $100 in these a greater wager than Powerball tickets? I’d wager so.

Falling to Earth: Boomer Coins Continue to Slide

It’s not simply Bitcoin (CCC:BTC-USD) that’s feeling blue nowadays. In the previous week, 70 of the highest 100 cash by market cap have misplaced cash. The Grayscale Bitcoin Trust’s (OTCMKTS:GBTC) $24 billion belongings below administration (AUM) is barely larger than firstly of the 12 months.

Moonshot traders largely don’t appear to care. Their $0.02-$0.07 Dogecoin entry costs imply most early traders are nonetheless deep within the black. Only the latecomers are licking their wounds.

But Bitcoin’s stagnation might imply a brand new “crypto winter” for different currencies too. An analogous shakeout in 2018 despatched altcoins right into a multi-year deep freeze as traders pulled cash out.

In different phrases, don’t purchase “blue chip” cryptocurrencies as a result of they appear safer than altcoins. When a deep freeze occurs, not even Bitcoin is safe from the reckoning.

Interesting Reads

Investors might have purchased Virgin Galactic (NYSE:SPCE) for $15 in May. Today, it’s at $55. Luke Lango and his workforce check out whether or not it’s too late to soar in.

Are you wanting to add extra threat? Alex Sirois explores 10 new penny inventory names that might go 10x.

Will any altcoin finally eclipse Bitcoin? Chris MacDonald isn’t so positive. But he does have some steerage for these looking for the following king of cryptocurrencies.

And lastly, are you able to keep away from crypto taxes whereas saving a creating nation? Joanna Makris weighs in on the rise of “Bitcoin citizenship” and provides pointers for anybody who’s dreamed of working an under-the-table offshore sportsbook.

By the Numbers: Probability and Payoffs

$60,000 Bitcoin goal worth by J.P. Morgan strategist Nikolaos Panigirtzogloy. “If Bitcoin isn’t in a position to break again above the $60,000 mark quickly, momentum indicators will collapse, in flip main to a cascading downdraft,” he wrote in April.
-36% Losses seen by Bitcoin traders since Mr. Panigirtzogloy printed his notice.
-69% Losses by SafeMoon traders had they purchased the cryptocurrency on the time. The J.P Morgan notice coincided with SafeMoon’s peak worth.
500% Gain by traders who purchased into FEG (Feed Every Gorilla) Token. Smaller altcoins have changed extra important tokens and cryptos because the dominant speculative performs in latest weeks.

Closing Thoughts: Having the Conviction to Sell

When I purchase a brand new funding, I typically have a smile on my face. That new holding might sooner or later develop into price a brand new automotive. Maybe even a brand new home. It’s all doable when that profit-and-loss column nonetheless reveals “$0.” (Those with youngsters may additionally have felt that have earlier than).

But saying “goodbye” to an funding isn’t all the time as simple. Not even for me.

That’s as a result of promoting entails locking in earnings or losses. The second you’ve pulled the set off, all that limitless potential disappears. It means endlessly lacking out on any future upside.

Yet, Momentum Masters will know that promoting is as essential as shopping for. When momentum belongings decelerate (or mean-reverting belongings go up), it’s higher to take earnings than to sit on a sinking ship.

FREE REPORT: 17 Reddit Penny Stocks to Buy Now  

Thomas Yeung is an professional when it comes to discovering fast-paced progress alternatives on Reddit. He really useful Dogecoin earlier than it skyrocketed over 8,000%, Ripple earlier than it flew up greater than 480% and Cardano earlier than it soared 460%. Now, in a brand new report, he’s naming 17 of his favourite Reddit penny shares. Claim your FREE COPY right here! 

On the date of publication, Tom Yeung didn’t have (both instantly or not directly) any positions within the securities talked about on this article.

Tom Yeung, CFA, is a registered funding advisor on a mission to convey simplicity to the world of investing.

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About the Author: Daniel