On January 4, top trader Eugene Ng Ah Sio posted on social media saying that in an era of high prices, it is indeed challenging to find new ideas. How do you gain confidence in a project that has already risen tenfold from the bottom?
The framework I use to build confidence can be summarized as follows:
1. Representing a brand-new idea - this can be achieved through a new vertical field, new products or services, or even a new token economic model (such as Ponzi scheme).
2. Looking for newer names with fewer coin holders and smaller unrealized gains and losses of existing holders - this is why new coins often perform better than old ones because they have no natural resistance levels and no inflationary or selling pressure.
3. Looking for theoretically unlimited valuation ceilings - this is why Meme coins perform so well because they are impossible to value.
Now, there's one token that reasonably meets all these criteria in some respects.