Author: Frank, PANews

MEME coins are a dark forest with extremely fierce competition. Countless speculators compete within it, but it seems difficult for anyone to become a consistent winner. In this context, those instances of overnight success are more instructive. For these smart money addresses, besides learning and imitating through copy trading, we might better explore the scientific methods of MEME coin trading through analyzing their trading logic and behavior. PANews has compiled five typical smart money addresses recently, attempting to uncover the secrets behind their successful trades.

Case 1: Single-handedly turning a trash coin into a golden dog 

Smart money: AcLHpBGUgsRApF2eF3tPPxMsgsnyBAr53mdBvLM8ST8z

On May 16 at 10:42:30, the 1DOL token was created on pump.fun. Initially, only the founder bought 5 SOL. This token had only 10 comments on PUMP, and almost no trading occurred within the first three days after its creation. The Twitter account showed that the account was banned. Originally, this was another case of a failed issuance. On May 19 at 4:28:18, the founder gradually sold 1.5 SOL.

On May 19 at 5:39:58, the address 4gQYeDooUUHXG6wXDaUR3sL68ZHr2niim2aiZiQNgvGv started buying 13 SOL of 1DOL. After this address bought in, it quickly triggered a buying frenzy in the market. Within an hour, the project's capital volume met the price curve progress on Pump and was listed on Raydium.

Subsequently, 1DOL's market value once rose to $20 million, and the holdings of the 4gQYe address were nearly $2.26 million, achieving a 993-fold return. According to PANews analysis, this address belongs to a Twitter user named Sunday Funday, a seasoned MEME coin player who spent 421 in BOME's fundraising and thus earned about $18 million in returns.

According to PANews analysis, Sunday Funday mainly looks for opportunities by focusing on crypto artists. He once stated on Twitter that BOME's success was due to his understanding of the artist, which led him to make a heavy bet and earn big money. Of course, after Sunday Funday's success in BOME, he became a target for many players to follow. Therefore, every time he buys, it attracts many followers. Although it is unclear whether 1DOL was intentionally pushed to the top or was an accidental success, the result has created a new wealth code. However, from the current pool size of only $230,000, Sunday Funday's millions in profits are just paper wealth, difficult to cash out.

On social media, many players questioned whether Sunday Funday was an insider trader, attracting other addresses to buy in to gain high returns. In response to these doubts, Sunday Funday said: "Did I buy because I believe in the artist? 100%

Did others buy because I bought? Possibly." As of May 21, Sunday Funday had not sold the tokens.

 

Case 2: Short-term hunter and long-term lurker on GME

3zdzNQPcJ4NdEsK2EEHbRMvupVqJPmk94YQyJpMSjPf1 is a short-term hunter who made $200,000 through GME.

Initial purchase: From 2024-05-13 00:05:41 to 2024-05-13 03:13:54, spent about $16,000 to buy 18,640,537 GME

After holding for about 9 hours, he started selling. At this time, the GME price had basically doubled from his cost price. The initial sale was about $61,000, recovering the cost and achieving a 4-fold profit.

During his buying process, the GME hotspot had just started to ferment. During the initial purchase period, GME rose by more than 30%. But this player still firmly bought in and completed most of the position building within 5 minutes (accounting for about 87% of the initial total position).

2nU4GehM5FLtdZcx8BiAHgMFW6ziDJbtFmXsKiwkzUdP is a long-term player who built a position in GME two months in advance. This player started building a position in GME from March 5 and continued until May 1, accumulating 69,400,000 GME with a total investment of $19,000. Until May 13, when Roaring Kitty returned and started selling, he made a profit of $468,000.

Both players achieved high returns through the GME token, but their operating styles were obviously different. From the results, it seems that the long-term player is more successful. However, the short-term hunter 3zdzN also has similar long-term layout tokens, but their price trend is all the way down. Obviously, short-term operations may be more suitable for players at the 3zdzN address.

 

Case 3: Lottery-style player winning a $100,000 jackpot

7BBgSsxsjtS8NSZqKZp7qmsoDenupqBaCNZPj8Tvh7g8 (alienbot.sol)

This address user is like a lottery player, preferring to invest 0.2~0.3 SOL in newly launched coins. Of course, most of the tokens end up at zero. From May 6 to May 8, this player completed 450 such transactions, spending a total of 57.3 SOL (about $8,700), with 99% of the projects yielding no returns. Only one PumpnDump successfully formed a pattern, earning $106,000. Although media reports mention that this user won $100,000 with 0.3 SOL, the cost behind this $100,000 is not low (alienbot.sol and other related addresses have the same investment strategy, with a total cost far exceeding 57.3 SOL).

Many players on social media questioned whether this address was an insider trading address, but according to PANews analysis, the player's success might purely be the result of a lottery win. However, this strategy is not suitable as an investment plan, as more than 16,000 tokens are issued daily on the Solana chain, and such a trading method may ultimately result in more losses than gains.

Case 4: Suspected front-running with potential profits close to $10 million

5YYaPTFHuW3cgFvgd6oHZy1HgPWGKa59NJKhHVKoMCAX is suspected of being a front-running address for MANEKI. This address invested over $100,000 one minute after MANEKI's launch.

MANEKI launch time: 04-22-2024 14:55, purchase time: 04-22-2024 14:56:48   Purchase quantity: 718 SOL, accounting for 11% of the total supply of the token. Subsequently, this address distributed these tokens to 15 addresses. Currently, the value of the tokens is about $9.55 million, while the total funds in the liquidity pool are only $15.5 million. After being exposed by @ai_9684xtpa, the user has not sold the tokens. Front-running is indeed an important way for many smart money, but in today's situation where on-chain tracking tools are very advanced, the behavior of front-runners seems to be difficult to hide in the dark.



Summary:

1. Snatching the launch is not the choice of smart money

In the analysis of several smart money addresses, only a lottery-style player and a front-running address adopted the method of snatching the launch. Instead, their choices focused more on the project initiator or the narrative behind the project.

2. There is no consistent winner, and copy trading is not wise

After analyzing the smart money addresses, it was found that almost every smart money completely changed their capital scale after seizing 1-2 opportunities. However, in terms of success rate, most of the tokens they bought ended up at zero. Therefore, blindly believing in smart money and copy trading is not reliable.

3. They are lucky, but also promoters

According to PANews' analysis of the trading scale and time of these smart money addresses, these addresses are almost not small retail investors in the true sense. Instead, they have a certain investment strength, and their buying scale is not small, generally in the tens of thousands of dollars. In fact, these smart money are the main promoters of the price increase of these MEME coins. For example, Sunday Funday's purchase directly attracted many followers to 1DOL. Rather than saying their profits are due to luck, it might be the power contributed by their followers.

4. Do 10U warriors still have a chance?

During the analysis of addresses, PANews found that there are many addresses with similar or even lower costs before and after these smart money purchases. However, these addresses often clear their positions in a short time, ultimately missing out on significant profits. Therefore, it is not that smart money is always lucky, but they do have some of their own holding methods in strategy. For example, they will first recover part of the cost after the price rises. They may even continue to increase their positions if they are optimistic about the project's trend. These are different from the quick in and out habits of ordinary players. For most 10U warriors, opportunities seem to always exist, but whether they can truly hold on is the main obstacle to becoming smart money.