Nowadays a lot of shitcoins have made it to prominent altcoin exchanges like Nova and yobit.Most of the time their purpose is to help you get rid of your money.For eg when I started trading on yobit after spending some time on poloniex,a coin which I bought at 1500000 sats,went to one sat in just a minute and that's just one of many times I got ripped by shitcoins.Obviously I was angry and I vowed to never invest on any shitcoin again,But after gaining some more experience,I came to the conclusion that money can be made with shitcoins as well if you follow the pattern.
For example bitok is a shitcoin.It went from almost 1Btc to 4 sat in just 1 month but every time I invested in it,I made atleast 2x profit.What a lot of shitcoins devs do is that they release just a tiny fraction of the total supply at first and then pump the coin to moon.Due to the sudden increase in value people start panice buying and when a significant amount of coins are bought and buy orders placed by panic buyers,they suddenly dump.
Usually what some of these devs do is that they start by a huge price ie 1Btc per coin in case of bitok,shrp etc.Than they dump it 1st to let's say 100000 sats buy before dumpING further they pump it to a fraction of the orignal price for eg let's say to 500000 sats.Than they dump it to let's say 10000 sats and the cycle goes on until the coin goes to 1 sat.
So the key is to identify the key is to find such shitcoins.For that keep following shitcoins and never invest before it gets through atleast 2 pump/dump cycles.Second step is to set entry and exit points and that's where your instincts come into play.If you stick to these rules you can make atleast 2x on eBen shit coins.
Below is the example of bitok which during the most recent cycle I bought at 4 and sold at 8.
