Investors use onchain metrics, tokenomics, and community traction to spot promising crypto projects early.

From Cointelegraph

June 19, 2025 11:44 am:

Some investors consistently find promising crypto projects before they explode by analyzing onchain metrics, tokenomics, dev activity, and community traction. Lessons from winners like Solana, Arbitrum, and Chainlink are highlighted, emphasizing the importance of avoiding hype-driven pumps and red-flag projects. Tools like Dune Analytics and GitHub commits are key in identifying real potential.

Solana’s speed and proof-of-history tech made it a fast-growing chain, attracting DeFi and NFT builders. Early adopters who tracked onchain growth saw Solana’s rise from under $1 to over $50 in less than a year. Arbitrum, as an Ethereum layer 2, gained traction with billions in TVL and high transaction volumes, rewarding smart investors.

Chainlink’s utility in feeding real-world data into smart contracts made it a DeFi backbone by 2024. Early integrations and utility adoption, not flashy branding, propelled LINK’s growth. Pepe Coin, launched without a roadmap or utility, gained a billion-dollar market cap quickly due to viral community sentiment and activity.

To identify crypto gems early, trendspotters focus on onchain metrics, tokenomics, developer activity, ecosystem signals, and community sentiment. They use platforms like Dune Analytics, Nansen, and LunarCrush to cross-reference data and separate real traction from manufactured hype. Key indicators include steady user growth, dev activity, and ecosystem integrations.

Early investors study token structures, unlock schedules, and community signals to spot trends before the crowd. By analyzing onchain data, social sentiment, developer activity, and liquidity with tools like DefiLlama and GitHub, they can identify winners before hype takes over. Critical thinking and independent research are crucial in the volatile crypto space.

Read more at Cointelegraph: How to Spot the Next Big Crypto Gem in 2025