What to do when a coin you hold starts dumping
A practical playbook for one of the situations every memecoin trader eventually faces: when a coin you hold starts dumping.
How to read the situation
The first question is whether liquidity is intact. A drop on stable liquidity and cooling volume may be a normal dip; a drop accompanied by draining liquidity is likely a rug and demands an immediate exit.
Also check whether the dev wallet or large holders are distributing — that turns a "dip" into a top.
What to do right now
- Check the liquidity figure first — is it draining?
- Look for dev-wallet or whale sells.
- If liquidity is draining, exit immediately into whatever depth remains.
- If liquidity holds and your thesis is intact, refer to your pre-set invalidation.
- Act on your plan rather than freezing.
What not to do
- ✗ Averaging down blindly on a coin with draining liquidity.
- ✗ Telling yourself "it'll bounce" with no evidence.
- ✗ Removing or ignoring your invalidation level.
- ✗ Waiting for a crash you can already see starting.
Reading the chart is step one. Getting pinged in real time is step two.
Get the live contract and suggested size in Telegram for $10/week. Free name-and-score DMs are available if you want to try it first. No alert guarantees a profitable trade.
Education only — not financial advice. Memecoins are extremely high risk.
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