Newcomers in the crypto world can avoid typical mistakes by following 'smart money'. In this article, we explore what 'smart money' is and how you can use available tools to track their strategies in the crypto market.
Real-Time Analytics and Wallet Tracking
One way for beginners to approach the smart money concept is by using analytics platforms to track associated wallets. For example, Nansen marks smart wallets based on factors such as achieving a $1.5 million minimum profit. Platforms like Dune allow tracking custom dashboards to learn about the trades of experienced players like Murad, a memecoin enthusiast.
Decentralized Asset Management Platforms
Decentralized crypto markets allow newcomers to invest through platforms like Mosaic Alpha, offering token baskets. The platform connects active managers and lets novices follow their strategies, participate in competitions, and earn performance fees.
Monitoring DeFi Protocols and Social Signals
New crypto investors can use DeFi protocols to analyze capital flows. For example, DeFi Llama shows increased activity in areas like restaking. It's also important to track trends via social media and communities where new projects and campaigns are often announced.
By exploring the 'smart money' concept in crypto, novices can increase their chances of successful investing. Using analytics, DeFi platforms, and social media lets beginners follow more experienced participants and minimize risks.
