Stop chasing the rocket

Brandon Goldman
Jan 7, 2018 · 3 min read

The cryptocurrency space has become the go-to spot for the average Joe to wait around with hopes of cashing in on a low-volume, low market cap coin that can fetch 30, 40, or even 50% returns overnight.

It’s easy to see a coin up 45% on the day and instantly start calculating in your head how rich you’d be if only you invested in that coin a day earlier. Many people see the large gain and think,

“Holy Sh*t! This coin is going to the moon… I gotta buy this ASAP!”

Beware of The Pump

Recently, John McAfee (yes, the guy behind McAfee Anti-Virus Software) has taken a huge interest in cryptocurrency. Each week, he selects a “Coin of the Week” that he advertises to his 630k Twitter followers. His selection usually sparks a huge swing in price as people flock to purchase his “Coin of the Week” with anticipation of getting rich quick.

Week after week, McAfee helps pump the value of coins across the market only to leave investors in shambles once they begin researching the project on their own and discover the project is non-functioning or impractical, thus crashing the price once everyone panic sells.

DYOR (Do Your Own Research)

1. Read the Whitepaper

Reading a whitepaper may seem boring and tedious, but it’s a great way to read into a project and determine for yourself if the project A) sounds too good to be true, or B) is something that provides value to the world.

For example, here is the whitepaper for Bitcoin (well worth a read!)

2. Skim through the Github Repository

You can learn a lot about a project by looking at their commit history!

3. Get to know the Team

Word of “I’m not a financial advisor, so don’t make decisions based on me” Advice: You should never chase pumps. Be there before or don’t enter without understanding why you missed out in the first place.

If you’re interested in learning how to purchase altcoins, I’ve created a website called that is tailored to providing step-by-step directions to purchasing your first altcoin using Binance!

Brandon Goldman

Written by

Software Engineer | Cryptocurrency Enthusiast