listing a coin is not an indicator of a good investment, it’s an indicator of a *potential* good investment. It’s just that in this case, it *didn’t* pay off.
This week saw a lot of bagholders created as the Pepe mania took over. It all began when Binance announced that they would be listing the cryptocurrency PEPE. This news caused traders to go wild and the price of PEPE shot up by 110% within a few hours of the listing. Since then, the price has dropped by 24% in the past 24 hours and 70% from the Binance listing. This has caused the market cap to drop from 1.8 billion to 500 million.
It’s rather interesting how PEPE looks like a rugpull. Although it’s not confirmed, it’s a good example of why it’s important not to FOMO (Fear of Missing Out). Those who got in early were just waiting for an opportunity to dump on the traders who FOMOed in, and as a result everyone who rushed to buy is now down big, even those who cut their losses early still lost 10-15%.
Some users on the sub were also unhappy that the sub “prevented” them from participating in the big pump. This is a good reminder that when it comes to investing in cryptocurrencies, Binance listing a coin is not an indicator of a good investment. It’s an indicator of potential, and in this case, it didn’t pay off.
It’s important to invest responsibly, to take calculated risks and to research coins thoroughly before investing. FOMOing into a coin can lead to big losses, and it’s important to stay aware of the potential risks when investing. In this case, it’s clear that a lot of bagholders were created, but it’s also a good reminder to always invest responsibly.