Please read the following article carefully before trading as it describes the risks associated with high volatility tokens (meme coins). You should always carefully consider if the high volatility tokens are consistent with your risk tolerance, objectives, experience, financial needs, personal circumstances and other considerations that may be relevant to you.
You should keep yourself informed about general information about high volatility tokens, and keep the following points in mind when trading such assets on any platform.
Because trading high volatility tokens may be accompanied by a variety of risks, it can be helpful to remember that these tokens are largely community-driven. That means that prices are sometimes easily impacted by social media hype, or even commentary and interest from well-known individuals. As movements in prices can be sudden and extreme, you should try to understand the risks involved and not enter into a transaction beyond your financial means.
After identifying a cryptocurrency you are interested in, it is good practice to do some research on the project. You can spend some time reading their business model and whitepaper to determine if it holds up under scrutiny.
Different tokens can be volatile in different ways, and some tokens are more volatile than others. It is important to note that several factors including news developments and limited supply have been known to impact token prices abruptly. Major holders of a token can also affect its price if they decide to trade in large quantities.
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