PEPE has changed many people's lives after rising 375,000 times in just 21 days. You can also change your life through Meme coins. This article is a complete guide on how to find Meme Gems and exchange them for crazy rewards. I will introduce four aspects: basic knowledge of Meme coin investment, how to find and research Meme coins, the best buying strategy of Meme coins and when to make profits. Meme Coin Investing Basics When you buy any token, you are buying it with the assumption that someone (in the future) wants to buy it from you at a higher price. This is especially true for meme coins, as they rely more on psychological drivers than fundamentals. This is known in economics as the 'castle theory' (popularized by economist John Maynard Keynes), whereby 'investors try to build a kind of castle in the sky and consider estimating intrinsic value as a ratio of possible future price increases'. Objective By taking a position before other investors start buying. But, of course, this is a gamble because meme coins have lower fundamental drivers than typical investments. Therefore, you have to view meme coin investing as a gamble. You can Think of meme coins as games in a casino, L1s and exchanges like Ethereum are the casinos. Remember, the casino always wins. We’ve seen this with the significant increase in ETH consumption over the last week. More On-chain activity = more ETH being burned. This is the main difference between meme tokens and casino games like roulette. When you bet on a roulette spin, the house automatically has an edge of ~5.26%. But , there are ways to tilt the odds in your favor when investing in meme coins. Admittedly, it is more difficult to create an advantage here than with other trading methods. This is because there are so many unknown variables that can affect the success of a meme coin. But there are ways to A few steps to improve your chances of profit. How to Find and Research Meme Coins Here are 5 steps to find meme coins and increase your edge. 1. Monitor coins that are rising Check out the top risers on sites like DEXTools so you can Which memes perform well can be measured from a price perspective. 2. Verify whether the token has a strong culture. Meme coins can only succeed if they have a strong community. In this area, community trumps all other variables.Memes need to be fun, interesting, and easy to understand. There are many ways to track a coin’s social performance: Monitor social metrics on Lunar Crush to determine if a coin is being talked about in social media: Twitter, Telegram, Discord, etc. Is the coin trending on Twitter, Google, DexTools or Coingecko? 3. Study the fundamentals and ask yourself: Who are the team members? Were they doxxed? If not, have they demonstrated competence in construction and hype? What do tokenomics look like? Is there a dilution/burning mechanism? Let’s be honest, when it comes to meme coins – these questions are not as important as researching legitimate projects. But it still takes some effort to help create an advantage. One of the biggest drags in the industry is the constant running around and attacks. Although this situation cannot be completely avoided, I use 2 methods to help avoid this situation: doing a quick audit on Token Sniffer and evaluating wallet distribution on bubble maps. 4. Figure out whether you want to follow the leader or play a wheeling game. "Leaders" usually have higher market capitalization but less risk. For example, DOGE is the leader of "Inu" coins. Now PEPE is the leader of “frog” coins. New liquidity is attracted to the leaders first and then flows into smaller tokens in the niche. When liquidity rotates within a specific sector, profits from smaller tokens often flow back to the faucet. This generally makes Dragon Head a better R/R game. The second option is to try playing the rotation game, which involves investing in smaller market cap tokens emerging under niche market leaders. If you time it well this can lead to some nice gains, but for the reasons mentioned above - it's usually a poor quality R/R game. 5. Follow the smart money. To find new meme opportunities, you can check out what whales/other successful meme traders are buying. Here's how: Go to Etherscan and look at successful early purchasers of meme coins such as PEPE Look for "smart money" wallets on lookonchain Track their wallets on DeBank to see what they're buying Use these purchases as a basis for further research ( Looking for Patterns) Now assume you have completed your basic research. You have selected a Meme Token and are ready to buy it.How to handle trading (buy and take profit)? The best three-step buying strategy for Meme coins: 1. Treat it like a casino. Investing in Meme coins is fun, and you might get very lucky. But treat it like a casino. If you don’t walk up to a roulette table in a casino and be willing to bet the exact same amount on a single spin – you could be overallocated. 2. Only trade emoticon tokens on a separate on-chain wallet. Do not mix your investment capital and Meme coin capital. This will help you clearly separate your strategies and reduce the emotional toll. You should be willing to lose 100% of the funds in this new wallet. 3. Use technical analysis to help you buy and sell. Performing accurate technical analysis is difficult due to liquidity constraints and a lack of historical price data. But I find it helpful to use a chart to create some kind of plan so you don’t just fly in the face. One method I've found that works well is to wait for a major correction and then go long the next HTF breakout (this works well on PEPE) . This way you won't buy too high. There is also nothing wrong with conducting a DCA within a predetermined time period. No need to rush in all at once. But if you’re really feeling FOMO, sometimes there’s nothing wrong with just getting into the market initially. It may be better to go long 20-30% of the final position size. Think of it as hedging your emotions by going long. Let's assume that the Meme coin you bought now has risen and it's time to take profits. What is the profit strategy? When to Profit Meme coins can quickly change your life. But make sure you actually use the money to change your life. Don't reinvest profits. A simple rule is to sell after doubling your capital. This way you can trade with "profit". Technically, the remaining funds are still yours, and holding the position isn't "risk-free" - but at least you're guaranteed a profit on the trade itself. After that, every time it doubles, a predetermined percentage will be sold. For the risk averse, you may want to continue selling your initial principal. But if you're more aggressive, you can choose a lower percentage. For example, sell 20% or 30% for every 100% gain.This strategy works until the top occurs. After that, you may experience a severe retracement. But there are indicators that can indicate a top is forming, so you can reduce your risk accordingly. These top indicators include: 24-hour trading volume exceeds market cap HTF is forming lower highs Decrease in number of holders or significant slowdown in holder growth Large whales begin to sell Financing rates turn from negative to positive No one can guarantee 100% Predict when the top will occur, but hopefully a combination of some or all of the above indicators can help you reduce your risk when a top signal occurs.