A few months back ( In 2024 Nov) I tried my hand in trading memecoins and got rug pulled. But something kept itching me as to how my peers are making money without getting rekt. So I turned to youtube and spent countless hours understanding how this works. I applied the basic strategies in swing trading in memes and it worked.

In this article I will take you through a straightforward guide that I personally employ for trading memecoins. No fancy expensive tools just basic common sense.

What is Memecoin Trading?

Meme coin trading or flipping involves the speculative buying and selling of cryptocurrency tokens inspired by internet memes or jokes, such as Dogecoin or Shiba Inu. The idea behind creating and trading these memecoins is to build a narrative around internet news, famous celebrities, show support for a cause and so and so forth. In flipping memecoins, the trader simply buys the tokens at low and strives to sell at a high price to lock in some profits. 

How to Find Good Memecoins and Start Trading? 

After checking out all the major dex platforms like Bullx, Photon and so on I believe Dexscreener along with a phantom wallet is more than enough to get started. Now, you might wonder how that protects you from being rug pulled or scammed. Well turns out picking the memecoin pair is not that tough. All you need is a rugchecker website and of course Solana blockchain explorer – Solscan. 

Following are the exact steps I follow to get started with memecoin trading using simple and free tools.

• First I visit Dexscreener and apply important filters. Chain, platform (Pump.fun) market cap, 5 min volume and the age.

• Now, pick a token, click on it to check for token details. Next, copy the token CA (contract address) and paste it into rugcheck.xyz and run a scan. 

• If the score and details of the token seem good enough, then move over to your phantom wallet and swap SOL or USDT for the token. (Simply paste the CA) and adjust the slippage from top right corner toggle. 
• Now, swap the token and simply keep an eye on the token chart on Dexcreener. 
• Open the phantom wallet on your phone and keep the swap ready. Just when the price hits to your desired exit price simply swap the tokens and lock in your profit. 

How to Set up Your Memecoins Trading Desk?

The best way to make sure that you can track your PNL and watch the chart is to simply snap on a magnetic phone holder and snap your phone on it. Check the image below. You can get the magnetic phone mount on Amazon. Check for phone mounts here

Wrapping Up

Meme coin trading is a high-risk, high-reward strategy centered around capitalizing on viral trends and speculative mania. While potentially lucrative, it demands vigilance against scams, awareness of market psychology, and disciplined risk management. Unlike traditional investing, success here often hinges on speed, community engagement, and the ability to navigate an unregulated, rapidly shifting landscape.

Frequently Asked Questions on Trading Memecoins

What is a meme coin?

A cryptocurrency inspired by internet jokes, memes, or pop culture (e.g., Dogecoin, Shiba Inu). Most lack real-world utility and rely on hype, community engagement, and social media trends for value.

What are the biggest risks? 

Rug pulls: Developers abandon projects, stealing funds. 

Pump-and-dumps: Coordinated groups inflate prices before dumping. 

High fees: At times trading on Solana can become expensive because of network congestion hence one must check for network congestion and price slippage issues. 

What strategies work for meme coin flipping?

Buy early: Target coins with growing social buzz and low market caps. 

Take profits: Sell portions during pumps (e.g., 25% at 2x, 50% at 5x). 

Use stop-losses: Limit losses during sudden crashes. 

Avoid FOMO: Don’t chase coins after they’ve already spiked 1000%.

Which blockchains are popular for meme coins?

Solana, Tron and Base blockchain are quite popular for memecoin trading. 

What’s “DYOR”?

Do Your Own Research: Never blindly trust influencers or groups. Investigate a coin’s team, liquidity, and community before investing.