In this post I will be explaining 9 simple steps to be able to identify hidden crypto gems. Cryptocurrencies with low market capital are able to recieve mass adoption from the cryptocurrency community if they provide new solutions, improvements to previous difficulties and problems.

I. Read the Whitepaper

Any new project must have a whitepaper, in which they list the most important informations of their new cryptocurrency, such as its method of work, total supply, the real purpose of the cryptocurrency.

II. Check their Social Media

Take a look on their social media profiles on Instagram, Facebook, Linkdin, Twitter. Check their followers, it is easy to identify whether the followers are real or fake bots.

III. Check their website form and traffic

Their website may be a projection of their investment and their project. A well organised website is much more temptive than a regular one. In their website they must list their team, token address, whitepaper, and the main purpose of the project. Check their website traffic, it is a simple method you can do by yourself searching for their traffic, to see if their is enough visits to the site and if their project is attracting the cryptocurrency community.

IV. Team members

Previously we checked their website and social media. On these platform any project is supposed to inform new investors about their team. Mentioning their names, previous jobs, their degrees, and most importantly if they have been in blockchain innovation in the last few years. Anonymous team? Check their project more than a time and their next events

V. Investors and Addresses

Any new project needs to attract new investors to be able to continue, mainly by doing ICO, presales on telegram groups. Whenever you have the token’s address, you will be able to check the total number of holders of the token, and most importantly check previous transactions to identify the sum of the investments made.

VI. Partnerships

Partnerships are not usual in the launch of a new project, but powerful projects are able to attract other companies to form partnerships. 

VII. Product

What is the purpose of their product?

Does provide any new solution?

Does it create a problem to solve it?

Will it be used in the future?

Are there similar projects?

These questions will help you identify whether is it a good product or not.

VIII. Compare Market cap and their supply

Check their market cap on your favorite site, their total and circulating supply. Check the 24hours volume. This will show if their project is attracting new investors and traders.

IX. Airdrops

Recently, airdrops are being an important method to spread the word about any new project specially in the DeFi market. Most of the airdrops participants are joining just to get some extra cash and sell their coins, which will eventually cause an impact on the price and the circulating supply.

These are my simple steps to identify crypto gems with low market cap. Thanks for your attention, feel free to comment if you want me to analyze a specific project. Feel free to give a tip, give a like and follow.