Donald Trump and his wife Melania Trump launched their respective memecoins, $TRUMP and $MELANIA, and you've read the headlines.

The market cap shot up to billions, and people made millions off of them.

Good for them.

But there's a reason why a few people will have been made millions, but a lot more people will lose money.

The problem with these coins is their value comes from hype, and hype dies down.

Unless you're doing this for a living, and are very good at it (or very lucky), the only way to make money here is by timing the market, which is extremely difficult.

If you're hearing about it today, it's already too late. If you heard about it yesterday, it was already quite late.

It may go up again, no doubt, but it likely won't. And if it will, it won't make anyone 'millions'.

But a lot of people will join the bandwagon today, or tomorrow, or the day after. And they'll expect huge profits, which won't happen. So they'll wait. And then it'll go in the red.

When it's in the red, they'll be like, "no I don't want to lose money on this", so they'll wait. But it might not go up. And it definitely could go down more.

And then a lot of people will sell at a loss.

After all, markets, like everything else, follow psychology.