After Trump was shot, meme coins surged: How smart money seized the opportunity for a hundredfold profit?

BlockBeats
2024-07-16 10:32:03
Collection
The Trump concept reappears with a hundredfold "Golden Dog." Did you catch it?

Author: Luccy, Joyce, BlockBeats

On July 14, Trump was shot in the ear during a campaign rally while raising his right fist under the protection of security. Following this, the Trump meme concept surged, with TRUMP skyrocketing nearly 70% in one hour and MAGA rising 33% in the same timeframe. Additionally, several related meme coins appeared on Solana, with FIGHT, EAR, and others seeing increases of over a hundred times after their launch.

Last night, Trump posted a new social media update at 11:51 PM Beijing time, captioned "Fear Not, I am Trump, and I will make America great again!" Subsequently, a meme token named "FEAR NOT" emerged on Solana, experiencing a 33-fold increase within two hours.

After explosive news events, a series of related meme tokens quickly emerge, with several achieving over a hundredfold increases and significant profit potential. How do these "golden dogs" come into existence? What characteristics do the smart money that reaps high returns possess?

15 Minutes After the News, Old Coins Rally, New Coins Enter

The earliest reports of the shooting incident involving Trump came from Bloomberg reporter Walter, who announced the shooting at 6:15 AM on the 14th. Fifteen minutes later, Trump concept coins began to rally.

Previously, the leading Trump concept coin, TRUMP, led the charge. At 6:22 AM on the 14th, TRUMP rose 70% in 40 minutes, starting to decline around 7 AM with a trading volume of $6.01 million. Subsequently, MAGA began to surge at 6:28 AM, continuing for 40 minutes, achieving a 46% increase before starting to decline at 7:10 AM, with a trading volume of $3.37 million.

However, in addition to the old memes, many related concept coins emerged due to this sudden event, such as EAR, Fight, SURVIVOR, FIST, MISSED, and HERO, along with corresponding memes derived from these terms, like EAR IS FINE and EAR WIF.

For meme speculation, the processes of event fermentation, token issuance, and price rally have become standard procedures. The tokens represented by the aforementioned names are not singular; searching any of these terms on any DEX reveals dozens of tokens with the same name. According to gmgn data, there are 24 tokens named "Fight" on Solana and 23 on Ethereum, while EAR has 11 on Solana and 5 on Ethereum.

Due to the difficulty in tracking the timestamps of most meme births, BlockBeats examined the launch times of several popular tokens, finding that only FIGHT and EAR achieved significant increases, and their release times coincidentally fell 15 minutes after the news was released.

According to dexscreener data, the most profitable FIGHT was released at 6:50 AM on the 14th and is still rising, showing three peaks in its price. The first peak occurred at 11:45 AM on the 14th, maintaining a price around $0.004 for nearly an hour before starting to decline. Six hours later, the price rebounded from a low of $0.002, reaching a local high of $0.013 around 10:30 PM. Subsequently, sell orders increased, and FIGHT experienced a significant drop again, rebounding early today.

EAR, which survived longer after FIGHT, was released at 6:37 AM on the 14th, reaching a peak of $0.032 at 1:15 PM, with an increase of over 60 times within 7 hours. By 3:30 PM, EAR's price began to decline around $0.025, and at the time of writing, the price is $0.0035, with a market cap of $3.7 million and a trading volume of $43.1 million.

The second most popular tokens, FIST and SURVIVOR, were released later, with FIST launching at 8:21 AM on the 14th and SURVIVOR at 1:05 AM on the 15th, both of which have since gone to zero.

How Does Smart Money Achieve Hundredfold Meme Gains?

According to gmgn.ai data, besides FIGHT and EAR, many related memes were born around 6:30 AM, but perhaps due to a lack of promotion, they did not attract much attention. Among these dozens or even hundreds of related memes, how does smart money accurately select the hundredfold meme? BlockBeats tracked the addresses of smart money that early bought the aforementioned EAR and FIGHT memes.

Luck Plays a Major Role

The luckiest individual profiting the most from FIGHT is an address starting with LCJFe, which bought in 23 minutes after the opening at an average cost of $0.00017, selling after the price doubled. They currently have an unrealized profit of $575,900, with an increase of over a hundred times.

Another address starting with CLegS specializes in celebrity tokens, with celebrity tokens making up over half of its total holdings, but nearly all have gone to zero. Overall, due to the recent surge of Trump concept coins, its total profit remains positive.

In the Trump shooting incident, they bought five related tokens: FIGHT, EAR, FIST, SURVIVOR, and MAGA. Except for MAGA, which incurred losses, the other four memes have collectively generated over $470,000 in profit, with about $233,600 in unrealized profits remaining.

The address starting with BS4 gh belongs to a "hotspot-type" player, holding tokens including FIGHT, BOME, WIF, and MOTHER. Although the latter three are all meme coins that have been hotly discussed, due to late buying timing, they currently only have an unrealized profit of $82.

The address Qwerty (starting with 81RYq) has the highest profit from EAR, with a total buying cost of $224, ultimately profiting over $220,000, achieving a return of 1309 times. Their strategy is to cast a wide net, investing $100-$300 daily to buy around 15 to 30 meme coins, ultimately waiting for EAR to be their lottery ticket.

KOLs Can Profit, But They Can't Sell at the Peak

The movements of KOL addresses and their promotional activities have a significant impact on the price trends of meme coins.

Thirty-six minutes after EAR appeared, an address belonging to a KOL with over 90K Twitter followers, "0xSun," bought a total of over $2,700 in EAR at $0.0015 and $0.0019 in two transactions. At this time, EAR's market cap was still under $2 million, and in the following 8 hours, EAR's market cap peaked above $32 million. However, 0xSun did not sell at the peak; if calculated at the peak, 0xSun could have made a profit of up to 16 times. But in this wave, 0xSun's actual return was 1.36 times.

On FIGHT, Neso, with over 30K followers, bought in for $434 two hours after the token launched and posted a promotional tweet about half an hour later. FIGHT continued to rise, and after reaching a profit of 6 times, Neso gradually sold off, with the last sale at a temporary high point, leaving some holdings. As FIGHT broke historical highs, Neso's unrealized profit on it reached $17,000.

An Incomplete Guide to "Identifying Coins"

Summarizing these lucky smart money strategies reveals that it is not only within the first few minutes of a token's launch that one can achieve high returns. These golden dogs were launched 20 minutes after the sudden news report, with a very fast "production speed," but the process of "upgrading to golden dogs" takes several hours. Even buying two hours after the opening still offers the potential for hundredfold profits.

BlockBeats has summarized some general tips for capturing meme coins.

First, closely following hot news and assessing its potential impact is crucial. One needs to maintain a keen sense for meme coins related to sudden events, timely filtering out concept coins associated with the event, and closely monitoring their trends.

Additionally, paying attention to smart money and reputable KOL addresses is also an effective strategy. Smart money and KOLs often possess richer market experience and sharper market instincts, and following their movements can increase the probability of success. Furthermore, diversifying investments is an important strategy to reduce risk. As some smart money has acted, casting a wide net and spreading investments, while not every investment yields massive returns, some will stand out, achieving hundredfold or even thousandfold gains.

Finally, timely recouping of initial investments is also a key strategy. In a highly volatile market, promptly recovering the initial investment cost ensures that one does not incur losses under any circumstances, which is an important means of protecting investment returns. Maintaining rationality and calmness, avoiding blindly following trends due to momentary fluctuations, and having one's own judgment and strategy is essential. This way, even in a turbulent market, one can steadily move forward and seize the next meme coin opportunity brought by sudden events.

In summary, capturing meme coins from sudden events requires not only luck but also sharp market insight and scientific investment strategies. However, meme coins are highly volatile, and BlockBeats reminds readers to be cautious in identifying risks.

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