Token Selection
Picking the Right Targets for Drop Trader
Before running Drop Trader, manually filter tokens — this is a huge part of your edge.
To start, open Photon or an Equivalent and head to the Trending section. You're looking for tokens that meet certain key criteria. Not all coins are worth monitoring — and not all dips bounce.
se this quick list before running any token:
1. Liquidity: Aim for $80k+
Buys ~ We don't reccomend buying more then 1% of a token’s liquidity per trade.
Example: $80k liquidity = $800 buy size.
Less than $80k = worse price impact and riskier recovery.
More liquidity = more reliable and profitable bounces.
2. Safety: Avoid Rugs at All Costs
Red flags to avoid:
LP not burned
Freeze authority active
Mint authority not revoked
Avoid doing huge buys above $1200 without MEV protection
Use the Security tab in Photon or run checks manually.
3. Volume: High Volume = More Opportunity
You want tokens with lots of trading activity.
No volume = no dips — or dips that never bounce.
4. Dip Response: Use Your Eye
You're looking for tokens that consistently bounce after dips.
Signs to watch:
Previous dips recover well
Price generally trending upward
Avoid “bleeding out” tokens — hard downtrends are harder to recover from.
5. Age: New = Risk + Reward
New tokens (even 30 seconds old) are often volatile and high-volume.
These can be very profitable if they meet all the rules — but also die fast.
💡 Pro Tips
🔁 Refresh token choices every 10 minutes — or even more often when the market is active.
🎯 Start with 1–2 tokens at a time. It's easier to monitor and learn what works.
🛠 Platforms that work well: Photon, Axiom, and BullX.
The following will be pictures to get an idea of what we're describing on this page.
Good Dips
Token Red Flags: What to Avoid
Even if a token looks perfect at first glance, these red flags are automatic deal-breakers. Always check before running.
🧠 Holder Distribution
✅ Healthy: Top 10 holders control <50%
❌ Red Flag: Top 10 holders own 70%+ → High risk of dumping or rug pulls
🔐 Authorities
❌ Mint Authority Enabled → Dev can print unlimited tokens = instant devaluation
❌ Freeze Authority Enabled → Dev can freeze wallets = total loss risk
📉 Scam Chart Patterns (Visual Examples Below)
Watch out for:
Pump 'n' dump spikes
Straight-line dumps with zero recovery
Volume dying off rapidly while price holds — signs of dev manipulation
🛡 Use Photon Security Tab or manual Solscan checks to confirm these quickly.
Photon Security Tab
The left security tab would be an example of a better choice of token
Please note that even when everything can appear to be good on the security tab, it can still be a malicious/rug token.
An example of a coin "bleeding"
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