Foresight Ventures: Going Big with Small Bets – How to Chase the Next Chain-Based Meme Coin?
TechFlow Selected TechFlow Selected
Foresight Ventures: Going Big with Small Bets – How to Chase the Next Chain-Based Meme Coin?
Pumping shitcoins is essentially a game of probability.
Navigating Web3 tides with focused insightsAuthor: Jonas, Foresight Ventures
1. What Are Meme Coins?
On-chain meme coins typically refer to early-stage projects without official whitepapers and with extremely shallow token liquidity. DeFi's decentralization and low entry barriers enable rapid growth of many high-quality grassroots projects, but also provide convenient environments for malicious actors to conduct rug pulls. Most meme coin projects are short-lived, lasting only 1-3 days. Only a few achieve hundredfold or thousandfold returns and eventually get listed on major exchanges, becoming "golden dogs." Even so, there are still many who consistently achieve hundredfold profits annually from meme coins—clearly, expertise matters. Trading meme coins is essentially a game of probability.
2. How to Trade Meme Coins
Here we use the ETH chain as an example because, despite its higher gas fees, it has shown more pronounced wealth effects over time. Other heterogeneous chains such as Solana and Avalanche tend to have weaker market sustainability.
2.1 Finding Meme Coins:
First, use market tracking websites like DexScreener, Defined, Dextool, Ave.ai, etc., which feature constantly updated trading leaderboards. Projects with high trading volume and large price increases rank higher—volume indicates potential.
Second, use bots to monitor on-chain activity. Common bots include PepeBoost, Alpha Radar Bot, Nerdbot, etc., all capable of delivering real-time transaction trend alerts. These bots offer clean interfaces and provide comprehensive scores based on contract safety, liquidity pool status, number of smart money addresses, and other factors. Selecting from high-scoring projects identified by these bots significantly improves success rates.
Finally, follow smart money addresses. The more reputable smart money addresses buying into a meme coin, the higher its credibility. Many professional meme coin traders (smart money) consistently earn $100K–$300K monthly, with average profit margins of 30–50%. Be sure to filter out developer insider wallets or one-off lucky buys, and instead focus on addresses that consistently identify golden dog projects.
2.2 Buying Meme Coins:
First, position sizing is critical. On average, among 1,000 new meme coins daily, only about 10 are worth trading short-term. Approach this like gambling—place equal bets across multiple trades. For example, set a fixed budget to buy 3–5 tokens daily, each representing no more than 5% of your total capital. You may slightly increase positions for coins with larger liquidity pools.
Second, leverage market patterns to improve win rate and risk-reward ratio. Meme coin trading is inherently a losing game in most cases—similar to venture investing—where a few big wins must cover multiple losses. For instance, out of 10 trades, 8 might lose money, while the remaining 2 must recover all costs and generate profit. Cut losses quickly and let profits run. Some useful patterns include:
Clone pattern: A successful project often triggers numerous clones. Second- and third-movers (the “dragon two” and “dragon three”) usually profit, while later imitators tend to rug pull. For example, after PEPE’s surge, PEPE 2.0 also rose hundreds of times. After Harry Potter Bitcoin gained popularity, Harry Potter XRP similarly surged by hundreds of times.
Timing pattern: Long-term observation shows that during bull markets, a hundred-bagger golden dog appears roughly once per week; during bear markets, about once every two weeks. Golden dogs are especially likely to emerge at the beginning and middle of the month. Short-term data suggests most golden dogs appear between 1–3 AM and 5–8 AM, with a smaller number emerging between 9–10 PM.
A small number of golden dogs often contribute 90% of portfolio gains. A strong golden dog is usually tied to trending events or repeatedly promoted by influential figures. For example, GROK, Tesla’s AI product, was frequently mentioned by global首富 Elon Musk on Twitter, gaining massive visibility. Others succeed by tapping into cultural sentiment and emotional value—for instance, BONK originated as satire against SBF and helped unite the Solana community during tough times. Golden dogs meeting exchange listing criteria can be held long-term. Common benchmarks include: over 8,000 on-chain holders, daily DEX trading volume exceeding $8 million, Twitter impressions over 8,000, Telegram group size surpassing 10,000 members, etc.
2.3 Selling Meme Coins:
80% of meme coins go to zero within a day, and 99% eventually collapse completely. Smart money achieves high win rates not because they only pick winners, but because they exit quickly. The meme coin market moves at 10x speed—doubling or collapsing can happen within minutes. Common sell signals include: clear deterioration in K-line trends, declining 24-hour turnover rate, slowing growth or even reduction in holder count. Unless market hype is extremely high, meme coins without actual projects should not be held overnight.
3. Risk Warnings
3.1 Gas Fees:
The meme coin strategy works best in sideways markets, not in strong bull or bear markets. Traders cannot avoid gas fees—on the Ethereum chain, each trade currently costs tens of dollars, sometimes comparable to or exceeding the actual trade amount (e.g., $100–$200), severely reducing the risk-reward ratio. In a full-blown bull market, single transactions on ETH could cost over $100, making meme coin trading impractical.
3.2 Wallet Security:
On-chain hacking is rampant. It is recommended to isolate meme coin trading funds from main holdings and periodically rotate wallet addresses.
3.3 Profit Withdrawal:
Earned through speculation, preserved through discipline. Profits from meme coins come fast but vanish faster. It is advisable to regularly withdraw a portion of profits as reserve capital for future comebacks.
Bruce Lee said, “I fear not the man who has practiced ten thousand kicks once, but I fear the man who has practiced one kick ten thousand times.” Finally, wishing everyone huge hundredfold to thousandfold gains in meme coin trading!
Join TechFlow official community to stay tuned
Telegram:https://t.me/TechFlowDaily
X (Twitter):https://x.com/TechFlowPost
X (Twitter) EN:https://x.com/BlockFlow_News
Foresight Ventures
