There are many terms in crypto that might look overwhelming for newbies. One of such is DEGEN.
Degen is short for degenerate, and it is crypto slang. It simply means trading coins without due research in hope for quick profit. You hear, ape into the coin and sort.
Degens trading is high risk, and you can make 10X, 20X, 50X, X200 of your investment in minutes or also see your investment go to zero within minutes.
A meme coin can literally pump and do a X20 simply because Elon Musk posted something similar or CZ of Binance posted something similar.
It is the season of Degens with Contract Address (CAs) flying everywhere. This is why you need to stay careful and imbibe some lessons if you want to survive the tricky world of Degens.
Degens thrive on FOMO (Fear Of Missing Out. Degens is just about hype, vibes, trends, X influencer posts and doesn’t care about fundamentals.
You must ride the hype and know when to stop or take profit. Leave when the ovation is at the highest. When you start hearing Next Shiba, Next Doge and so on. It is time to exit and not enter.
Degen is zero on fundamentals. It defies logic, it is just hype and trend. Don’t bother to check any fundamentals on a meme coin.
Follow the hype in whatsapp, telegram groups, viral tweet, influencers tweet. Track top devs wallet address or early viral degens buyers account with DaPP like Debank.
Watch new token listings on Dexscreener, pumpfun, fourmeme.
The goal is to ape/buy early. The earlier you enter, the faster your investment multiplies and faster you can exit.
Many degen traders lose that capital because they ape into a single coin with all their money. Once the coin goes sideway or rugs, they are out of the game.
Have a definite amount for degen trading. Divide that amount into 100 and buy any coin with each unit.
If your degen capital is 500 USDT, that means you will only use 5USDT for each trade. You should know that for every Degen coin that moons, we have tons that crashed to zero.
Most degens trader lose money because they don’t have an exit plan. Not every coin will do 10X or 100X. Not every coin will be the next pig, safemoon, shiba, or nftart.
Have a rule on when to take profit. You can take profit according to your risk level. You can leave a moonbag incase the coin does well at the long run. That way you win and if the coin goes to zero, you still win because you’ve took profit.
Many run after green candles and still expect a 20X. A coin that has done 30X before you see it and you decided to purchase hoping for a quick 10X or 6X will likely get you burnt. Other traders will want to take profit thereby using you as exit liquidity.
Don’t chase pumps, another coin will come. Use that time to check for any new coin and position yourself
Degen trading is about discipline and observation. Don’t let greed take over from you.
