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RE: They call them ShitCoins, but this one grew 3439%

in #cryptocurrency7 years ago

I agree that some of the lesser known alt coins might afford an amazing opportunity. However the problem, even with those that appreciate in value considerably, is that their low volumes can make some of them less-than-liquid. In other words, the extreme volatility in upside (and, unfortunately, in downside as well) can in some measure be caused by the fact that these tokens are worth whatever someone will pay for them. And, with some of them, there just aren't that many buyers and sellers. With that said, I should add that I'm not talking about well known alt coins (e.g., Litecoin, Ethereum, NEO, Monero, and so many other recognizable crypto brands); rather, I'm talking about coins like CRE, MET, TOM, CYT, DB, EA, NSR, EQ, KR, KTK, DRKT, OMA, PXL, and hundreds of others nobody's heard of and practically NOBODY trades. (Check their volumes on sites like Cryptocompare.com, and you'll see what I mean.) In that regard, my 1-2-3 advice for my own friends about these things runs something like this: 1) First, look at volume. 2) Then check to see which credible markets (i.e., exchanges) trade them. 3) Don't simply become enamored with wild swings in the absence of doing due diligence with regard to volume and markets. I hope this helps someone!

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You have a point here. The volume of the coin in the post is like 250$ which means we wouldn't be able to sell even $1k. That makes them unusable, but it's interesting to watch how they grow sometimes.