Meme coins entered the hearts and minds of crypto traders with the introduction of Dogecoin (DOGE), which began as a joke in 2013. Today, $DOGE ranks in the top 20 of all cryptocurrencies and continues to be a favorite meme token among traders. In this article, we break down what meme coins are, what the risks are, and how to use Quadency trading bots to reduce your risk exposure.
A meme coin is a type of cryptocurrency that exists only to be traded and speculated on, as it generally has no use cases or any type of business model behind it. The idea or story behind the meme coin is what (hopefully) will appeal to the social media masses, as social attention is essentially a meme coin’s only avenue for adoption.
Besides not having a business model, a very low price is one of the things meme coins have in common. It’s also one of the reasons meme coins have become so popular, as almost anyone can afford a large bag of meme tokens. Other common features include:
Crypto traders primarily speculate on meme coins, but others enjoy the community effects of the meme or like to accumulate to grow their bag.
Speculation
The lifetime ROIs of DOGE and Shiba Inu are +11715.34% and +703038.1%, respectively. So naturally, meme coins are attractive, despite their propensity for high volatility and risks.
To be a part of something
People like to get behind a story, especially if it’s one that resonates with them. The Shiba Inu meme coin community fundraises for rescue Shina Inu dogs, adding a real-life element to the meme’s story and creating a way for people to connect with each other.
Accumulate
Some traders like to accumulate meme coins over time to grow their bag holdings. Many can appreciate the low entry prices and hope they can choose a meme coin that either goes viral or simply rides the momentum of other cryptocurrencies and meme coins.
Dogecoin and Shiba Inu differ from most meme coins because they both have competitive market caps in relation to crypto majors, and thus a higher level of liquidity than most meme coins. They also are connected with high-profile influencers (Elon Musk with DOGE, Vitalik Buterin with SHIB). In these cases, there’s the added possibility that they could mention the coin in a post that could go viral.
Crypto traders can follow these tips to build layers of safety around their meme coin trading:
Many traders view volatility as an opportunity and know that automated trading strategies can work well for meme coins as well as other cryptocurrencies. Quadency’s bot strategies give traders premium tools and indicators that help them manage their meme coin trades.
Smart Order Bot
Investors can set up stop losses and take profits for meme coin trades using Quadency’s Smart Order, protecting their capital and controlling their buys and sells by setting a few simple parameters.
Grid Trader Bot
Quadency’s Grid Trader bot can help traders make the most of meme coin volatility by enabling them to set up multiple buy and sell limit orders on grid lines defined by a specified price range. When the price moves within the range, profit is realized through each buy low/sell high cycle.
Accumulator Bot
If you want to build some meme coin bags, Quadency’s Accumulator Bot helps you Dollar Cost Average (DCA) by making automated regular buys from every minute to every month and beyond. Traders can also put a limit on the price, giving you additional control in the case a meme coin suddenly spikes or falls.
Premium bot automations are just a few clicks away at Quadency! Get Started.
If you’re just hearing about a meme coin, it likely has already been pumped and that’s why you’re hearing of it. If you buy in, you might just be buying the downside. Here are a few tips for finding meme coins on the rise:
Always remember that meme coins should be treated with extra caution due to their extremely high volatility and oftentimes very low liquidity.
Meme coins added another dynamic layer to the crypto trading experience. With a bit of DYOR and a smart terminal like Quadency, all your meme coin and crypto asset trading is optimized and managed in one portfolio view.
A meme coin is a type of cryptocurrency that exists only to be traded and speculated on, as it generally has no use cases or any type of business model behind it. The idea or story behind the meme coin is what (hopefully) will appeal to the social media masses, as social attention is essentially a meme coin’s only avenue for adoption.
Besides not having a business model, a very low price is one of the things meme coins have in common. It’s also one of the reasons meme coins have become so popular, as almost anyone can afford a large bag of meme tokens. Other common features include:
Crypto traders primarily speculate on meme coins, but others enjoy the community effects of the meme or like to accumulate to grow their bag.
Speculation
The lifetime ROIs of DOGE and Shiba Inu are +11715.34% and +703038.1%, respectively. So naturally, meme coins are attractive, despite their propensity for high volatility and risks.
To be a part of something
People like to get behind a story, especially if it’s one that resonates with them. The Shiba Inu meme coin community fundraises for rescue Shina Inu dogs, adding a real-life element to the meme’s story and creating a way for people to connect with each other.
Accumulate
Some traders like to accumulate meme coins over time to grow their bag holdings. Many can appreciate the low entry prices and hope they can choose a meme coin that either goes viral or simply rides the momentum of other cryptocurrencies and meme coins.
Dogecoin and Shiba Inu differ from most meme coins because they both have competitive market caps in relation to crypto majors, and thus a higher level of liquidity than most meme coins. They also are connected with high-profile influencers (Elon Musk with DOGE, Vitalik Buterin with SHIB). In these cases, there’s the added possibility that they could mention the coin in a post that could go viral.
Crypto traders can follow these tips to build layers of safety around their meme coin trading:
Many traders view volatility as an opportunity and know that automated trading strategies can work well for meme coins as well as other cryptocurrencies. Quadency’s bot strategies give traders premium tools and indicators that help them manage their meme coin trades.
Smart Order Bot
Investors can set up stop losses and take profits for meme coin trades using Quadency’s Smart Order, protecting their capital and controlling their buys and sells by setting a few simple parameters.
Grid Trader Bot
Quadency’s Grid Trader bot can help traders make the most of meme coin volatility by enabling them to set up multiple buy and sell limit orders on grid lines defined by a specified price range. When the price moves within the range, profit is realized through each buy low/sell high cycle.
Accumulator Bot
If you want to build some meme coin bags, Quadency’s Accumulator Bot helps you Dollar Cost Average (DCA) by making automated regular buys from every minute to every month and beyond. Traders can also put a limit on the price, giving you additional control in the case a meme coin suddenly spikes or falls.
Premium bot automations are just a few clicks away at Quadency! Get Started.
If you’re just hearing about a meme coin, it likely has already been pumped and that’s why you’re hearing of it. If you buy in, you might just be buying the downside. Here are a few tips for finding meme coins on the rise:
Always remember that meme coins should be treated with extra caution due to their extremely high volatility and oftentimes very low liquidity.
Meme coins added another dynamic layer to the crypto trading experience. With a bit of DYOR and a smart terminal like Quadency, all your meme coin and crypto asset trading is optimized and managed in one portfolio view.
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Quadency is a cryptocurrency portfolio management platform that aggregates digital asset exchanges into one easy-to-use interface for traders and investors of all skill levels. Users access simplified automated bot strategies and a 360 portfolio view with a free account.
Disclaimer: The content of this article is for general market education and commentary and is not intended to serve as financial, investment, or any other type of advice.
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