Market pitfalls: How crypto monkeys end up worthless

The monkey circulating on crypto networks is not just a simple story — it’s an almost perfect description of how scammers manipulate markets. In this classic scheme, a person starts buying monkeys at $10, then $20, $40, and finally $50. Easy gains attract the crowd. The villagers abandon everything to catch the monkeys, until there are none left. Then, like magic, the seller disappears — but not before his accomplice has “generously” offered a last chance: sell the monkeys at $70 now, because the boss will come back to pay $100.

When illusion becomes reality in crypto markets

This scenario precisely describes the pump-and-dump scam mechanism. Prices are artificially inflated by insiders who accumulate silently. Then, viral hype attracts small investors who buy at the top. Large holders disappear with the profits, leaving late buyers with depreciated assets. The worst? Many truly believe they “will keep the monkey” until its owner returns.

The villagers in this story weren’t stupid — they were just human. Faced with an apparent opportunity and the surrounding FOMO, they ignored warning signals. This is exactly what happens in crypto when a coin jumps 100% in a day. Euphoria replaces logic.

A personal lesson with $TREE on Binance

I myself fell into this trap. One day, I saw $TREE jump 100% on Binance. Instead of sticking to my usual discipline and waiting for a thoughtful entry point, I chased the hype. I bought at the wrong moment. A few hours later, I was at -5%. It wasn’t a disaster, but enough to remind me of a truth: you can’t catch every move, and chasing the trend is the best way to stay with the monkey.

This small mistake crystallized a rule every crypto trader should engrain in their mind: never keep the monkey. In other words, never be the one paying too much because others have already taken their profits.

How to identify a worthless monkey before funding it

Signs of a potential pump-and-dump include: unusual volumes without news justifying the rise, suddenly promotional influencers, a vertical increase without correction, and exaggerated claims in communities. If you see these markers, you’re probably not at the start of the movement — you’re at the point where insiders are preparing their exit.

The real lesson: discipline rather than FOMO

Hype is temporary. It lasts a few hours or days. But losses can be permanent. True crypto wealth doesn’t come from the latest viral move — it comes from a consistent strategy, rigorous risk management, and constant discipline.

Don’t FOMO into coins after a huge surge. Don’t trade on emotions. And most importantly, never stay with the monkey. This simple maxim, applied across dozens of trades, is the difference between those who survive in crypto and those who regret buying an worthless asset.