π§π»βπ | Let's understand the terms What is Hold? Hold (Hold) - a strategy in which the user buys an asset (e.g. - NFT or token) and leaves it for a long time, in the hope of growth. Example in NFT: We buy 1,000 Openpen, and in a month we swap them for a villa in Spain. Example in coins: You buy a token and hold it for a certain period of time. Also, for holding this token, you can receive % from staking, whitelists for launchpads, drops, etc. The launchpad token hold worked very well on the steer and gave *** APY to the belivers What is Flip? Flip (quick sale) - quick resale of an asset. Maximum focus on instant profit. A purchase is considered as a mint / participation in the sale, as well as a buy from the market for a short time. An example in NFT: We buy 1,000 Openpen, merge every other day at x2, and a month later we catch fomo that could swap them to a villa in Spain. Example in coins: We buy a coin before the sale, suppose FT, at $5 and sell at $6 on the news. βοΈ | Pros and cons of Hold-a and Flip-a Each method has its pros and cons, let's look at different variations.
Pros and cons of Hold-a: β Pros:
β’ Greater % profit on a successful hold.
β’ If the market started to grow, then most often your NFT grows even higher, and this is more profitable than just holding ETH
β’ Save time, bought and waiting.
β’ Holders are often given various airdrops, such as: project coins, WL holders and other various goodies. βοΈ Cons: β’ Huge risk of being left with a regular jpeg that will cost $0. β’ It takes nerves of steel to hold NFTs on drawdowns. Let me give you AZUKI as an example. Their collection was subjected to hard food, because. the founder made 4 ragas before this collection and the price went down to 8 Eth, but those who managed the food now have a price of 15 ether. β’ You need a big enough bank. Not everyone can buy Moonbird or CloneX for example and hold them for a long time.
β’ When the market draws down, you most often lose more than in a coin Pros and cons of Flip-a: β Pros: β’ Quick money.
β’ Less likely that the project will die. Projects are usually slaughtered over time, we won't care because we're not here for long. β’ No need to have a big bank. βοΈ Cons: β’ Fails at the ransom. They can eat most of it and greatly increase the average price.
β’ There are too many factors that cannot be quickly considered when buying a flip. β’ It is possible to experience a FOMO attack when the price becomes x10 on the next day. β’ Difficult to find entry point. This applies to flips on the secondary. π£ | Flipped for sushi, but could have bought a sushi bar. Createra blur | opensea | Twitter
A very popular collection that almost everyone has heard of. Many of my friends flipped for 0.25-0.3 Eth.
Then it seemed that this was a very good profit from the chips, but the floor quickly reached the mark of 1.5 Eth. Instead of a potential $2,500 with a couple of days hold, only $500 was received.
In general, there were prerequisites for growth, since it was known about the investment round from good bakers. However, the market at that time was afraid and had not seen such X's for a long time. Open Edition blur | opensea | Twitter
Another very interesting collection. Absolutely everyone could take it for any size. Unlimited suplay and mint a day long or even more (I donβt remember exactly) People collected them in packs for fries, spending only on gas (~5$) and flipped at 0.01 ETH(~16$), now this collection costs 0.7 ETH(~1120$). It was already impossible to predict this, as well as to reach such a price. The growth was in several stages, at each of which you could have been safely dropped off by a strong drawdown, liquidity withdrawal.
It seems to me that the main growth factor was BLUR, which gave a powerful impetus to liquidity in the NFT market I myself flipped 120 pieces of 0.01-0.02 and experienced a strong FOMO _
Blur
Blur(yes) | Twitter | dune | CoinMarketCap Here we no longer have an NFT, but a platform token. Most of it flipped and instantly forgotten. However, looking at the Dune airdrop charts + how actively MM accumulated poses and moved the market, it was possible to make an easy flip on x2
I myself picked up at 0.6 and sold at $1.07 and $1.2 literally within a couple of days. I was surprised that it was this project that everyone decided to flip to the ends and forget about it. Although it was the first project in the last two years that Game-Change did. I consider blue to be the most successful startup in crypto for 2022-2023 I still attribute this to HOLD than to FLIP, because there was an obvious buyout idea here, but everyone flipped and forgot God Hates NFT blur | opensea | Twitter
This is probably just my personal story. I minted 200 pieces in public and sold everything for ~0.06 ETH. How upset I was when two days later each NFT was already worth 0.8 ETH And I did not leave myself a single NFT in hold π | But is Hold always good? ghost boy blur | opensea | Twitter
One of the recent collections that performed well on the market.
Many could profit ~0.3 Eth+ ($480). But alas, after the fomo from Createra, many decided to hold and loot many times more.
Now the floor for the collection is 0.14 Eth. Still a plus from the mint, but many times less if they flipped.
Otherdeed for Other
side blur | opensea | Twitter
The same grandiose mint that everyone has heard of.
Millions of dollars went into gas for a mint of these NFTs.
Let's call geniuses those people who flipped 9 ETH+ at that rate, it was $27,000 with 1 NFT, and there were 2 of them in the wallet.
Now the picture for the holders is very deplorable - the floor is 1.7 ETH and the ether exchange rate is 1600 :( Oh yes, that was my most powerful NFT flip ever! I don't regret a second.
Almost any token from Coinlist It makes no sense to even show the graphs of this shit. You already know everything :)
Eh, but after all, every project from there was a gem and had to make Game-Change (but he did it only in your pockets) Almost any token from airdrop, farm, games $LOOKS, $CAKE, $X2Y2 and a huge pile of things that were on the bull but are not relevant now.
π¨π»βπ« | So flip or hold? These couple of minutes were given as examples of what outcomes can be with a flip or a hold.
And now let's take a more massive look at projects and apply our favorite statistics and count the numbers. *If you want to go straight to the conclusion, then click here π½ | Conclusion NFTs I advise you to decide what exactly you are doing - mint and profit from it, or trading / investing. It is in NFT that it is very difficult to combine these 2 functions in oneself. The statistics speak directly to us about it. The average NFT project will fall 2 or more times after a while, no matter how gem it is
was at the time of your purchase. However! There are successful holders/mid-long traders and we all know them. But note that this is their main activity. If you decide to engage in such activities, then allocate yourself a separate bankroll for this business and write clear limits and a strategy. Otherwise, it turns out a full-fledged casino. Based on statistics for 50 NFT projects, we get: β’ 4 collections for a successful hold. β’ 1 collection that +- has not changed in price. β’ 45 collections where flip won. *Add here the fact that most of the holds/investments were made at the price of ether > current. However, there have always been cases that would take you to the plus even with such statistics. The question is, how to catch such a case, and the most difficult thing is not to disembark from it too early? For example, take BAYC β’ Excellent upside throughout the bull β’ Huge drops to holders (e.g. APE - ~$80,000) β’ Guarantor of mints in neighboring projects from Yuga Labs (e.g. - Otherside) β’ Whitelists in a bunch of projects to this day (I think if you collect statistics and take into account participation in all, you can get another ~ 30-50 thousand $) β’ Staking bonuses and more Also, it seems to me that there are too many factors in the NFT that you cannot take into account immediately when making a decision. The founders here are also often outright clowns and can completely give up on the project / do a complete ** yn. Very often, growth or decline does not lend itself to any logic at all. The only thing that seems at least a little smart is a hold after a minute for a couple of days. By the way, I also want to note that it is in NFT that for some reason it is customary to hate flippers, and this often happens not even at the level of projects, but simply in chats. I attribute the reason to the fact that holders always sit in the red and try to recoup at least in words from those who make a profit :) Tokens Our article was focused more on NFTs and we did not collect clear statistics on tokens. However, I will leave some conclusion and my words. Yes! Holding / investing in tokens is really much smarter than in NFTs, and here's why: β’ There is a clear roadmap that is most often followed. It's not like in NFT where artists give up on their project after 2 weeks and feed everyone breakfast (Compare how any tier50 coin develops and how the same Moonbirds develop) β’ Growth, as well as decline, most often occurs due to logical factors, and not on fomo-bays and absurdity. Strong project - strong growth. You can really research the project well, understand what will happen soon and, based on analytics, make your decision. (Yes, there is a bear factor, but in general...) β’ A good token can't just fly into a zero floor. There is much more liquidity here, good bakers, presence of market makers, more convenient buying/selling. (Yes, there are exceptions...(FTX, LUNA, GALA) How could we predict the growth of Openen/Checks? Minimum factors, maximum luck How could we predict the growth of GMX/Blur/OP? All these are really strong projects that are being developed. We have a lot of on-chain data, we can collect a lot of statistics and compare projects with competitors. Maximum factors, minimum ludki In general, I... In general, I am now sitting and trying to remember when I invested in NFT and was in the black from it? Never. However, in the last 3 months, I finally decided to trust myself as a researcher and buy back tokens according to my analytics. Before that, I either did not believe in myself, or did it in NFT and was sure that I was some kind of fool and doing something wrong. But the success of my investments for tokens is 4/4 (and for NFT 0/9999), I do this rarely (MB once a month), but according to my clear strategy. I also advise you to keep your portfolio and allocate a strictly separate bank for such things. I use DropStab
