Crypto
A Profitable Memecoin Trading Framework (No Hype)
Memecoins are casino chips, but with rules they can be the highest-EV bet in your book. Here is how we trade them.
John AllisonApril 15, 20266 min read

## Memecoins: Pure Attention Trading
We do not love memecoins. But we are not going to ignore a sector that has 10xed faster than any other crypto vertical for two cycles running.
### The framework
A memecoin is a bet on attention growth. Price = function of (mindshare growth) × (liquidity).
### Entry rules
- 24h volume > $5M and growing 30% week-over-week
- Holder count growing > 5% daily for 3 days
- Top 10 wallets hold < 25% of supply
- Liquidity is locked or burned
### Sizing
Maximum 2% of portfolio per memecoin. Maximum 10% of portfolio in memecoins total.
### Exit rules
- Take 50% profit at 3x
- Move stop to break-even
- Trail rest with 30% trailing stop
We never marry memecoins. We rent them.
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