Investing in shitcoins the wrong way. This is the easiest way to lose money in crypto markets. When you follow on social media like TikTok, Twitter, Facebook, Youtube different digital creators that tend to promote different projects you are being swamped with tons of information on different shitcoins. The big problem with that is that almost 99% of those are complete air under pressure - meaning that they will be pumped to a point and then dumped by everyone. And if you miss the peak to sell all of it, you will lose most likely 90 to 100% of your investment.
Whole projects are being created in a cheap attempt to capitalize on the success of popular currencies. One example is Hoge Finance. Created just over one month ago. This is happening after the price explosion of Dogecoin and HOGE is trying to copy their model. On other hand, in its current state, I think that HOGE has only the potential of going down big time. That can be observed in its chart:
In my opinion, unless you are buying this at the very beginning at the lowest price possible and not investing any money that you can't afford to lose just stay away.
Another similar example is Safemoon which is trying to capitalize on the meme of DOGE going to the moon. But in my opinion, it's even worse than HOGE, because it is only traded on a single exchange. if you spend serious money on that kind of investment you cannot afford to sleep. Just in few hours, its price can skyrocket and then take a big dip, and that way you can lose the chance to get rid of it and get your eventual profit.
So I personally stay away from such projects.
