Research Summary
The report emphasizes the importance of trading attention in the current market, particularly in the context of new token launches. It highlights the potential for gains in high attention tokens, using the examples of BILLY, MOTHER, and DADDY. The report also suggests that focusing on volume and not gambling on every new launch could be a more effective strategy.
Key Takeaways
Trading Attention
- Focus on Attention: The report reiterates the importance of trading attention, suggesting that there is always money to be made if traders are paying attention. It emphasizes that the current market lacks clear metas, except for memes on SOL or occasional high attention memes on ETH.
- Challenges with New Launches: The report notes that the new launch game has become increasingly difficult due to the attention on SOL and the number of tokens launched there. It suggests that while gambling on new launches can be profitable, it may not be the best strategy at the moment.
Case Studies: BILLY, MOTHER, and DADDY
- Attention Spikes and Retraces: The report uses the examples of BILLY, MOTHER, and DADDY to illustrate the potential for gains in high attention tokens. It notes that these tokens experienced attention spikes on launch, followed by retraces, and then sustained attention over time.
- Profitable Re-excitement Phase: The report suggests that buying into the re-excitement phase post-launch could yield anywhere from a 5x to a 10x return. It uses the example of MOTHER, which showed this pattern.
Strategy Suggestions
- Focus on Volume: The report suggests that focusing on volume and not gambling on every new launch could be a more effective strategy. It argues that this approach could lead to more confident and thoughtful trading, rather than just gambling.
- High or Emerging Attention Tokens: The report identifies high or emerging attention tokens as potentially profitable. It notes that these tokens are worth paying attention to, even though they may not offer a ton of research opportunities.
Actionable Insights
- Consider Attention Trading: Traders may want to consider focusing on trading attention, particularly in the context of new token launches. This could involve paying attention to high attention tokens and memes on SOL and ETH.
- Re-evaluate New Launch Strategies: Given the increasing difficulty of the new launch game, traders may want to re-evaluate their strategies. This could involve focusing more on volume and less on gambling on every new launch.
- Monitor High Attention Tokens: Traders may want to monitor high attention tokens, such as BILLY, MOTHER, and DADDY, for potential gains. This could involve buying into the re-excitement phase post-launch.
