You’ve probably heard countless stories of people who became millionaires from buying and holding certain cryptocurrencies. For example, in August 2020, a trader bought $8,000 worth of Shiba Inu. Fast-forward 14 months, and this $8,000 had become a whopping $5.7 billion. Similarly, a trucker was able to turn $650 into $1.7 million with Shiba Inu (SHIB) during its peak. There are several other stories like these in the crypto space.

So, how can you spot crypto gems before they “moon” or hit 100x? Read on to find out… But I must first warn you.

The crypto world is a rollercoaster of hype and innovation. While a select few achieve explosive growth that turns early believers into winners, many projects fizzle out.

What is a Crypto Gem?

A ‘crypto gem’ is a low-market-cap cryptocurrency project that has a strong growth potential. It is still relatively unknown and undiscovered by the wider market. Crypto gems are usually found in pre-sales or as newly listed tokens that can deliver good profits and have the potential to deliver 5 - 100x returns.

Experience has taught me that by the time people hear about a project on Twitter or Discord, the 100x opportunity is usually gone. Those ‘life-changing returns’ deliver only if you find them before the hype hits.

Past Crypto Gems

Solana

When Solana launched in 2020, it was a quiet contender. It didn't have the celebrity status of Ethereum, but it had a secret weapon: speed. Its proof-of-history technology allowed it to process transactions at a pace that left other blockchains in the dust.

This speed quickly made it a magnet for developers, particularly in the high-stakes worlds of decentralized finance (DeFi) and NFTs.

By 2021, the ecosystem was exploding. Projects like Serum and Magic Eden became household names, and the network’s on-chain activity was skyrocketing. Savvy investors who paid attention to these metrics saw the writing on the wall. SOL went from less than a dollar to over $50 in less than a year, eventually reaching an all-time high of almost $250 in January 2025.

Arbitrum

Arbitrum burst onto the scene in 2021 as an Ethereum layer 2 solution, designed to make the network faster and cheaper. But its real moment came with the ARB token airdrop in March 2023. By then, Arbitrum wasn’t just a promising project; it was a proven powerhouse. It was already processing more transactions than many older blockchains and had billions locked in its decentralized applications (DApps).

This wasn’t a lucky break; it was the result of a strong foundation. Even before the token dropped, smart investors were watching the signs: a surge in user activity, growing liquidity, and a flourishing ecosystem of apps. When ARB finally launched, the price hike wasn't just a flash in the pan. It was fuelled by a real, vibrant network. Although the token’s price is currently down from its 2024 high of $2.3, it delivered a 100% gain in less than 10 months.

Pepe Coin

Let's be honest: sometimes, the rules are different. PEPE Coin launched in 2023 with no roadmap, no utility, and no venture capital backing. It was just a meme, but it was the right meme at the right time. It tapped into a cultural nerve, and the internet did the rest. The community's energy propelled it to a billion-dollar market cap within weeks.

This kind of explosive run is incredibly rare and comes with massive risk. But for traders who watch social media sentiment, wallet distribution, and community chatter, the early signals were unmistakable. PEPE didn't promise anything, but by becoming a viral phenomenon, it delivered a moment of wild, unpredictable returns.

1. New Listings and Early Offerings

Data Aggregators: Tools like CoinMarketCap and CoinGecko are your indispensable allies. Don't just look at the top 10 coins, but check the "Recently Added" sections. These platforms provide a treasure trove of information, including price, charts, and trading volume, for even the newest projects.

As a rule of thumb, a project with a $10 million market cap has 100 times the growth potential to reach a billion-dollar valuation compared to a project already at $1 billion. Compare a project's market cap to similar, more established competitors to gauge its potential runway.

Exchange Launchpads: Major exchanges like Binance, Coinbase, and others also have dedicated launchpads for new tokens. While not every project will be a winner, a listing on a top-tier exchange is a massive signal of increased liquidity and credibility.

IDOs and ICOs: This is the ultimate early-stage opportunity. IDOs and ICOs allow you to acquire tokens at their absolute lowest price before they're widely available. Platforms like Polkastarter act as a gateway to these exclusive opportunities. Projects are often vetted for legitimacy and potential, though the risk remains high. Participate in these offerings to secure a position on the ground floor.

2. Whitepapers and Roadmaps

Now, this is not a hard rule because I have seen even the crappiest projects deliver 100x returns. However, a project's whitepaper and roadmap are its constitution. They lay out the vision and the plan, and they're your first line of defense against a pump-and-dump scheme.

The most successful projects don't just exist; they solve a problem. Is the project tackling a genuine issue in scalability, privacy, or financial access? Does it stand out? Who is the team behind it?

The project's GitHub repository is a goldmine of information. You don't need to be a coder; just check the commit history. A project with consistent code pushes, multiple active contributors, and frequent releases is a project that's being actively developed. If the repo is stagnant for months, it's a major red flag.

3. Monitoring Social Engagement

The noise of social media is where the narrative of a crypto project is forged. Look past the fleeting memes and find the real discussions happening in the digital town squares. Platforms like LunarCrush and Santiment provide valuable insights into a project's social momentum. They track metrics like social volume, engagement, and sentiment, helping you spot emerging trends and shifts in public opinion.

A healthy project will have active, well-moderated communities where developers are present and engaging with users. Look for genuine discussions, not just hype-driven spam.

Is the conversation constructive, or is it a non-stop "when moon?" A good sign is when users are discussing the project's features, asking thoughtful questions about the tech, and providing valuable feedback. It shows they are not just speculators, but genuine users and believers.

Pay attention to whether people are actually using the product. The strongest communities are built around real utility, not just speculation.

4. Worthy Mention

Finding early projects isn't about luck. In addition to the listed tools, you may need on-chain  scanners like DEXTools, Birdeye, and DexScrenner if you have the stomach for “shitcoins.”

By following launchpad calendars like DAO makers, Seedify, and pump.fun you will be notified of upcoming token launches. Most importantly, joining private alpha groups and following developers and smart contracts auditors could help you spot gems early.

Bonus tip: Take it from a crypto degen, profits die once greed sets in. Hitting a 100x doesn't mean you will hold out until the very top. Take profits along the way and start by securing your initial investment.