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RE: LeoThread 2025-02-27 02:38

in LeoFinance8 months ago

Part 7/9:

As your research progresses, consider the cryptocurrency's market metrics through trusted aggregators like CoinGecko. Start with the market capitalization, which reveals the total investment in the project. This can help you assess if the valuation seems appropriate in comparison to established competitors.

Pay attention to other critical metrics, such as trading volume and liquidity, which signal how often an asset is being bought or sold. Liquidity affects the price's volatility, and locked liquidity in tokens offers assurance that project developers aren't likely to abandon ship, enhancing investor confidence.

Additionally, be on the lookout for honeypot scams — where investors can buy tokens but cannot sell them. Tools like honeypot.is can help detect these schemes.