In the article about MemeCoin a few days ago (August 25), we also mentioned that it seems to be becoming increasingly difficult to find and track the smart money (wallets that participated early and have high PnL) in MemeCoin transactions, because scammers may create dozens or even hundreds of wallets for transactions, and in order to avoid being tracked and avoid these wallets from being associated with each other, they will also process funds through protocols such as Elusiv, so that ordinary users will find it difficult to find the association between these wallets because they look like the real buyer/seller wallets of MemeCoin. As shown in the figure below.
Although this is a difficult problem to solve, we can also find that some tool platforms seem to be working hard to mark such wallets. In the previous series of articles on MemeCoin, we have introduced many practical on-chain tools, such as DexScreener, DEXTools, AVE, Birdeye, Defined, hotcontracts, geckoterminal, etc. Next, let's briefly introduce two tools that are relatively popular now:
The first tool is GMGN
Tool address: https://gmgn.ai/trend/fvHTkhvp?chain=eth
GMGN currently supports Ethereum, Base, Solana and Blast chains, and supports simplified Chinese interfaces. On each MemeCoin information page, we can find that they have classified the transaction wallet addresses into some relevant categories, including smart money, KOL/VC, whales, sniper robots, big investors, developers, and rat warehouses, as shown in the figure below.
In addition, the tool can also query the latest transaction activities, token holdings (including purchase costs), historical win rates, etc. of the specified wallet, as shown in the figure below.
In general, this tool is relatively friendly to newcomers and easy to use. It also provides a detailed Chinese version of the tutorial, as shown below.
The second tool is BullX
Tool address: https://bullx.io/
Recently I found that many KOLs are also recommending this tool (except for those paid promotions, maybe more because the tool is currently accompanied by an airdrop task). I also tried it and felt that it is indeed very useful. However, the tool currently needs to be connected to Telegram before you can normally enter the website page to start using it. If you cannot enter, you can try to log in through the following address:
https://t.me/BullxBetaBot?start=access_GV1HE5FQ98
BullX currently supports Ethereum, Base, Solana, Blast, BSC and Arbitrum. Its specific usage is similar to the GMGN mentioned above. Go directly to the MemeCoin details page and click the Top Trades column to see the marked wallets. The ones with red mouse labels are rat warehouses (i.e. insiders' wallets). As shown in the figure below.
In addition, the tool can also monitor the Pumpfun and Moonshot launch platforms in real time, which looks quite intuitive, as shown in the figure below.
In general, this tool looks simple and clean, but it does not currently support the Chinese interface, but it also provides a tutorial video for beginners, as shown below.
In general, the core idea of discovering and tracking smart money is to use the on-chain tools mentioned above to find wallets with higher yields (mainly early trading wallets, and try to exclude rat trading). Although on-chain tools such as GMGN and BullX can easily find rat trading, other wallets that are not marked do not mean that they are not rat trading or insider wallets. This may require us to further explore, analyze and judge.
One additional point that needs to be explained here is that tracking smart money is only used as a supplementary reference. On this basis, you still need to do some necessary research on the MemeCoin you want to participate in. The higher the road, the higher the devil. It is difficult for you to know where there may be a new trap.
Although doing your own research may take time and effort, it is also a necessary path for ordinary people to succeed. If you just want to buy some MemeCoin recommended by others (such as various KOLs), or follow some wallets with high winning rates without thinking, and then fantasize about making $1 million in a few days with $1,000, then it is recommended that you turn off your phone and computer first, and go out for a walk to breathe the air of the real world and relax.
As far as MemeCoin is concerned, most of them actually have no specific value. Their entire significance is mainly to attract attention. Therefore, the core idea of looking for MemeCoin should also be to try to discover and find that kind of attention in advance, and the use of various tools is only an aid to better achieve this goal.
Next, let’s take the recently popular BULL token on the TON chain as an example to do a simple analysis and review:
Let's first use the DexScreener tool to look at the trend chart of BULL, as shown in the figure below. It can be clearly seen from the K-line chart that this is a typical 100-fold coin. On August 25, the increase in a single day exceeded 100 times, and the price rose from 0.003 US dollars to around 0.33 US dollars. The current price basically maintains at around 0.16.
Let's take a look at the data from MC. The BULL token was officially listed on August 23. Its market value remained at around $200,000 in the first two days, then remained around $3 million for a while, and then it surged on August 25. As shown in the figure below, the current market value is $1.6 billion.
So, what happened before the BULL token surge? Let’s continue with a brief review:
- On August 13, TRON founder Justin Sun announced the launch of the SunPump launch platform (also the first Meme fair launch platform in the TRON ecosystem), which means that TRON has entered the Meme field.
- On August 16, SUNDOG was launched on SunPump. Less than 3 hours after its issuance, its market value exceeded 10 million US dollars.
- On August 19, with Sun's unremitting efforts in promoting (social media promotion, X Space promotion, promotion of SunPump and TRON in the community, and even Sun himself personally played memes to drive attention to SunPump), SUNDOG's market value exceeded US$100 million for the first time after only 3 days of launch.
- Just 10 days after SunPump went online, the number of MemeCoins issued exceeded 26,000, the number of daily active addresses exceeded 50,000, and the market value quickly exceeded US$200 million.
- Then there are the various KOLs in X who continue to promote the SunPump platform and related tokens...
Let’s continue to take BULL as an example. From the above data, we can find that when its MC is less than 200,000 US dollars, and when its MC is around 3 million US dollars, it is a very good buying point for “getting rich quickly”. But how many people (wallet addresses) have become rich because of this?
Here we track the transactions when BULL's MC is less than $200,000:
By querying the historical transaction records of the coin on the chain, it can be found that 29 wallets purchased BULL tokens when the market value was around US$200,000 (only wallet addresses with transaction amounts exceeding US$2,000 are counted), as shown in the figure below.
However, through Tron's on-chain browser tronscan tool, it can be further discovered that most of these wallets are new wallets with only 3 historical transaction records, and the only token held is BULL, a MemeCoin. As shown in the figure below.
I don’t need to say anything more after reading this. It is obvious that these wallets were created to trade BULL in advance (before the BULL surge). As for which of these wallets are insider wallets, due to the anonymity of the blockchain, this cannot be traced at present. But if I were to make a blind guess, then I can say that there is a 99% chance that these wallets were created by insiders.
So, is there no smart money address that is more valuable for reference?
With a rigorous attitude, we can still find that 1% of the early purchase wallets are not newly created wallets, because through the on-chain browser tool, we can find that they have more on-chain activity records. If these wallets are not insiders, then they belong to the kind of smart money we hope to find.
For example, the wallet ending with CvtFRL below, as shown in the figure below, was created on August 17. Judging from the historical transaction records, in addition to trading BULL tokens, this wallet also holds (has held) more than a dozen other MemeCoins. It is a relatively active wallet.
Let’s continue to look at the transaction status of CvtFRL wallet on BULL:
In terms of buying operations, the wallet conducted a total of 2 buying operations, at 2:26 on August 23 (the buying price was $0.0001945) and at 12:07 on August 25 (the buying price was $0.00507), as shown in the figure below.
In terms of selling operations, the wallet has carried out 21 selling operations in total. Selling in batches is indeed a very good trading habit. As shown in the figure below.
So, how much money did this CvtFRL wallet make by trading BULL?
I checked and found that the total investment of TA is $1,787, the cumulative selling income is $207,600, and the PNL is $205,800. Currently, there are 900,000 BULLs (currently worth $140,000) in the wallet that have not been sold.
It seems like he is a professional who specializes in playing MemeCoin!
In addition to holding BULL, the wallet currently also holds MemeCoins such as IVfun, LEO, and JEMAN, as shown in the figure below.
Note: Don’t blindly follow orders just because you see the above picture. Maybe the wallet of the corresponding token has already made a profit and exited. If you are interested in this, you can use some of the on-chain tools we mentioned to do further research.
And if you also like to play with MemeCoin, then ideally, if you can find dozens of such wallets and add them to your monitoring list, then the movements of these smart money (such as what transactions they have made recently) may give you some useful reminders.
This is where we share the content for this issue. You can view more articles on the homepage of Hualihuawai.
Disclaimer: The above content is only a personal point of view and analysis, and is only used for learning records and communication purposes, and does not constitute any investment advice. The encryption field is an extremely high-risk market, and many projects have the risk of returning to zero at any time. Please treat it rationally and be responsible for yourself.
