ultra-low liquidity Alts... a good trade?

[Len Saldua]

Finding myself once again ( like most of you out there ) losing money with Alts.
Could there be any way to make money on this down trending market?
How about ultra-low liquidity Alts? Hear me out. These are tokens normally ranked
outside of the top 5000, not necessarily Memes, just small projects that have taken
a beating much worse than most. So the one I'm looking at has a trading volume of
around $100, yesterday it was under $1, so this is as low liquidity as you'll find in crypto.
Market Cap is not even listed on Coin Gecko, but it's a safe bet it's really low, as this token
isn't even ranked. So how could me, or anyone make money with this? Well, I've been
tracking it's price action and it goes up and down like a slow moving Yo-Yo, although at times
it stays flat. The thing is, it doesn't go up 10% or 20% like most volatile tokens, this one goes
up $1000 % or even 1800% on any given day. You can probably guess that is short lived as it
comes right back down, sometimes, within hours of going up. Over the long run, price movement
is bearish, but you could say that of any other top 100 token these days, so what difference does it
make? Well, the idea here is to "get in, get your 10X, then get out" . Seems simple enough? The
catch is it's only listed in two exchanges, one of them has a good reputation, and has been around
for many years. Worth a try?

[pooya87]

The smaller the shitcoin, the easier it is to pump it. That's the rule of the shitcoin market.

But such coins come with a much higher risk because it is just as easy to see them dump hard. For example you could buy it at 1 satoshi thinking it is the bottom and see it dump to 0.01 satoshi real fast . Sometimes you won't be able to sell what you have since the order books are too thin or sometimes even empty to sell into.

The profit percentage of most of them is high but the profit amount due to their low volume is usually low. So there is no rule that fits them all. You'll have to analyze their market and do a risk assessment before making a decision.

[Ammar M. A.]

Investing in tokens that have low liquidity will always be a gamble for token buyers, not infrequently ending up not making even a small return on capital. So, whether it's worth trying or not depends on the prospective buyer. Let me tell you, not only bull markets can give us profits, we can also profit from bear markets from buying short. There are still other reasonable options, so it's better to stay away from your idea.

- Ammar M. A.