(1) Explain your understanding of what a Shitcoin is.
(2) Do you think it is possible to profit from investing in Shitcoins?
(3) List advantages and disadvantages of investing in Shitcoins.
(4) Of at least 3 examples of Shitcoin that have been a scam, also explain what they consisted of.
(5) Explain at least two examples of Shitcoin that have been successful and are currently keeping it. (Other than Dogecoin or Shibainu.)
(6) Perform a historical analysis of the prices of any of the cryptocurrencies that you chose for the previous question. (Use screenshots.)
(7) Based on your previous analysis, what do you think will be the development of the price of the cryptocurrency for this year? Be creative when explaining.
(8) Conclusion
INTRODUCTION: Good evening everyone, I am @ojerindejoel from the Steemit crypto academy, this is my last homework for this almost concluded season 5, I have learned a lot from all the professors and kudos to you all thanks for your effort, today I will be writing on What is a Shitcoin and how to profit from it. Enjoy!! As you read.
From the word shitcoin this can be split into shit + coin which is sounding somehow to the hear, shitcoins are meme coins that doing really have the purpose of being created, they don't have the real basis of creation and they don't have real value.
Most shitcoins are not up to a dollar, though a lot of people have made money on shit coin because most of them are pump and dump coin so as soon as they list they go up multiple times by so doing so many people sell at listing to make a profit because as the coins get to it all-time high (ATH) it will start dropping though not all shit coin has done this but 80 percent has done this that is why crypto traders don't really have much trust in them as per holding.
shitcoin can also be referred to as a cryptocurrency with small or little value or a digital currency that has no immediate value to add to the cryptocurrency world at large, most are created for the purpose of scam and why very few are created just to stay for a short time and most of them are not up to a dollar in value that's why they are referred to as meme coin.
The decreasing value of most shitcoins is because they are not created for a good purpose and investors are afraid to invest their money on any cripple coin due to their previous failures and because it was not created on a really solid foundation and their prices are mostly based on assumptions due to this so many investors are afraid of losing their funds.
YES
It is possible to be profitable from investing in shitcoins if the greed factor is been taken away because some crypto traders love to take all the profit in the market by holding a shitcoin till it starts dropping to its lowest value, we all know that most shitcoin are pump and dump coins so the best way to take profit from all these projects is to sell off immediately after listing because they are not created with any valuable purpose that's why so many lost trusts in shitcoin.
Investing in shitcoin can't make someone rich but money can only be earned through investing in due to the fact they go up multiple times when listed and profit can be made on a shitcoin based on the popularity of that coin as the becomes has well known the more people buy it and its value increase but all this are short-termed.
Personally, I will not advise anyone to go for a long term trade on any shitcoin because they are not reliable, I myself bought a shitcoin Wakanda inu(wkd) though I made a profit at first due to the greed factor and I was hoping it could still go up more I am in lost now so the best thing is to be contented with that little profit.
Advantages of shitcoin
Quick money can be made through shitcoin.
Little amount of money Can be invested which can lead to great profit.
Large quantity of the coin can be bought due to low listing price
When listed they move at a rapid rate (for those that are not scams)
Disadvantages of shitcoin
They contain lots of scams.
Shitcoin can't make someone so rich.
They don't have the main purpose of being created.
They do not encourage large investors Because they are not reliable.
They can't be held for long, because the value of the coin can depreciation at any time.
I will be laying emphasis on three coins labeled scam
- Shiba Queen
- Wakanda Inu
- Squid
Shiba Queen is known as a decentralized financial payment network that involves rebuilding the traditional payment, it can be found also on Binance smart chain network on the blockchain. Shiba queen has up to $299 transactions as of December 2020, its a coin that thought investors how to hold the coin but as it was reported as a scam it values dropped currently as we speak Shiba queen's price is $0.
Wakanda Inu is one of the first most successful Africa projects listed in November 2021 and had a sudden boost, according to the developers its meme token was built for charity purposes but currently, it has been labeled a scam and its value has been reduced so much.
Squid 2 is a token that emerged from a south Korean movie series some few months ago which surged so much after being released and was listed on pancake swap and DODO at its first listing before it was labeled scam but before then the developers made more than $3million from the token but now the value has depreciated a lot.
Yummy is a meme coin that was created may 1st 2021 to provide values to holders through fund growth and their mission is to tackle pressing situations across the globe, they are in partnership with some industries and companies just to keep growing and make holders earn more, they've donated more than $1million dollars and over 35 percent of the token have been burnt just to boost the value of the token.
Safemoon is a very popular meme coin, it has no particular use also like some other shitcoins,
Safemoon is launched under the Binance smart chain which was one of the factors that made it so popular, Safemoon has a low fee for transactions, all this was done just to encourage investors to buy more of the coin and hold it.
For this aspect, I will like to choose Yummy for my historical analysis.
Yummy is interested in the growth of its community, people earning from the token, and the growth of the cryptocurrency world at large.
They have picked interest in helping the world solve some pending financial issues and they've partnered with some essential industries in the world just to fund growth.
They've been able to donate about $1.1million out and they've burned more than 30 percent of the token just to boost its value. Yummy have the creates since may 2021 and ever since they've been doing well, its current price is $0.00001017
Yummy has been a wonderful coin though it might be called shitcoin to me personally it doesn't look like one because it has future goals in which I know this year is going to boost beyond expectations, that was how bitcoin came up some years ago in which so many thought it was a scam, it was a shitcoin but now it is the mother of all cryptocurrency, I believe yummy is going to do well this year, in fact, am planning to invest in it and I know it won't turn to loss.
CONCLUSION
Shitcoins are coins investors need to be careful with in terms of investing in them because some are just created to scam people and some are pump and dump coin as it surges so high and after a short period of time it starts dropping that's why investors are afraid of investing their fund in them.
Shitcoin has its own advantages as well as disadvantages but the paramount thing is to do more research before jumping on anyone, though some then have been created to like 5 to 6 months now and they are still doing fine but some will come for just weeks and drop down in value that same month.
@steemcurator02 @steemcurator01
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