When looking at potential wallets to copy, it's crucial to know exactly what to analyze, especially if you're new to copytrading. Instead of getting overwhelmed by complex metrics, let's start with the essential checkpoints that can save you time and money.

Starting With the Basics 📝

Before starting your analysis, there are two things to check to save time:

1. The wallet's overall profitability - there's no point copying losing traders

2. The presence of SOL in the wallet. A wallet without SOL is typically inactive and not worth your attention

Let's look at a real example. In the image below, we can see several wallets with their SOL balances. Notice how the top three wallets have active balances (1,948.03, 2.44, and 11.27 SOL), while the bottom wallet shows 0 SOL, making it an immediate pass.

Once you've confirmed these basics, your next focus should be on two critical performance indicators:

• Win Rate: How often the wallet's trades are successful

• ROI (Return on Investment): The actual profit generated from their trades

These metrics together give you a solid foundation for evaluating if a wallet is worth copying.

Win Rate 🎯

When analyzing wallets for copytrading, win rate is often the first metric people check. However, focusing solely on this number might cause you to miss valuable opportunities. Let's break down what win rates actually mean in the world of copytrading.

Wallets showing win rates between 60-65% often demonstrate consistent and reliable trading patterns. While you might come across wallets boasting extremely high win rates (95%+), these should be approached with caution, as they may indicate risky trading patterns or manipulative strategies.

Take a look at our first example. This wallet (picture below) shows an impressive 80% win rate and has generated +$13.5K in the last 7 days. While these numbers look attractive, they shouldn't be the only factors in your decision-making process.

Here's why: Let's examine our second example. This wallet has made over $4,100 in profits with a more modest 63% win rate. By looking deeper into its trading history, we can see it manages losses effectively while capturing significant gains when opportunities arise.

Remember: The key isn't just about how often a wallet wins, but rather the relationship between its winning and losing trades. A wallet making substantial profits on winning trades while minimizing losses on unsuccessful ones can be more valuable than one with a higher win rate but smaller overall gains.

What matters most is the final profit. A wallet consistently earning higher returns with a lower win rate often outperforms those with higher win rates but smaller profit margins. Focus on the bottom line rather than getting caught up in percentages.

Return On Investment (ROI) 💰

ROI is a crucial metric that reveals how effectively a wallet grows its investments. While win rate tells you how often a wallet succeeds, ROI shows you the actual money-making potential. Let's break down what makes a good ROI.

Think of ROI like this: if a wallet turns $100 into $200, that's a 100% ROI - they've doubled their investment. But what's a "good" ROI? It really depends on your risk tolerance:

• For conservative copytrading: Look for wallets showing 30-50% ROI. These tend to be more stable and consistent.

• For aggressive copytrading: Target wallets with 100-200% ROI or higher, understanding the increased risk.

Here's a perfect example: this wallet (image above) shows a 64.74% ROI while maintaining a solid 90% win rate.

A critical warning: Be cautious of wallets showing ROIs below 20-30%. Why? Transaction fees can quickly eat into your profits, especially if you're working with a smaller account. Those fees might seem small, but they add up fast.

The key is finding a wallet that matches your personal risk tolerance and consistently generates returns above the transaction cost threshold. Remember, the best ROI for you isn't necessarily the highest one you can find. It's the one that aligns with your trading strategy and risk comfort level (Higher ROI induces to higher risk).

Quality of The Traded Tokens 🔍

After finding a profitable wallet, it's crucial to analyze what types of tokens it trades. This deeper look helps you understand if the profits come from sustainable trading or risky gambling.

This image above shows various tokens with warning signs (red triangles). Notice how some trades result in significant losses, indicating high-risk behavior. Most of the times, these tokens will be very very quick pumps & dumps that didn’t even bond (Migrate to Raydium), hence most of the times you’ll lose money copytrading wallets who trade them.

Let's break down the two main trading profiles we typically see:

Risky Profile Trading Pattern

Trading fresh tokens (less than 24 hours old) is extremely risky. These wallets often target tokens with low liquidity relative to their market cap (under 5% ratio), making them prime targets for pump and dump schemes.

A perfect example of this would be the above-mentioned wallet, who trades way too many risky tokens. This volatile trading pattern is typical of high-risk trading.

Safer Strategy Approach:

More conservative wallets focus on established tokens (over few days old) with healthier liquidity ratios (above 15-20%). These wallets typically trade on established platforms like Raydium, waiting for organic growth phases rather than chasing quick pumps.

A crucial tip: Be extremely cautious of tokens where market cap is more than 20 times the available liquidity. For example, if a token shows $100 million market cap but only $5 million in liquidity, that's a major red flag.

This comparison table (pic below) clearly shows the key differences between risky and safer trading approaches, from token age to volume sustainability.

The safest approach? Look for wallets that primarily trade tokens with locked liquidity and verified smart contracts. While they might not show explosive gains, they're much more likely to deliver consistent, sustainable returns.

Holding Duration ⏱️

Understanding how long a wallet holds onto its tokens can tell you a lot about its trading strategy and risk management approach. This metric is crucial for finding a wallet that matches your own trading preferences and lifestyle.

Short Holding Time

Look at this example (Pic above): Most trades are held for mere minutes (6s-7m). This wallet is clearly engaging in rapid trading, trying to catch quick price movements. While this can be profitable, it requires constant monitoring and quick reactions to copy successfully. To copytrade such fast trades, I really recommend to use OdinBot.io, since it literally has 1s (sometimes even less) copytrade time.

If you don’t know how, refer to my latest blog post explaining how to use it, or the Youtube Video:

• Blog Post: https://blog.cryptoviksant.com/p/copytrade-the-right-way-odinbot-full-guide

• YouTube Video: https://youtu.be/peRg9nu5Jw8?si=-MNK1pqh3ZmflQlc 

With that being said, let’s move on. Some characteristics of short-duration wallets are:

• Most trades last minutes to hours

• Higher number of daily trades

• Often targets volatile pump movements

• Requires more active management to copy effectively

Longer Holding Time

In contrast, this wallet shows much longer holding periods (1d-13d). This approach typically indicates a more measured trading strategy, giving trades time to develop and potentially reduce the impact of short-term price fluctuations.

The benefits of longer-duration wallets are:

• Trades typically span days rather than minutes

• Lower frequency of trades

• More time to react when copying

• Often indicates more thorough token analysis

• Usually easier to copy accurately

A personal recomendation would be for you to avoid wallets with too many super-short trades because:

• If a wallet sells coins in under 2-3 minutes, it’s likely a risky “pump and dump” strategy.

• Look for Steady Growth:

• Choose wallets that hold coins for hours or days. This shows they’re betting on the coin’s long-term value.

Choosing the right holding duration depends entirely on your availability and trading style. If you can't monitor markets constantly, opt for wallets with longer holding periods. While fast-paced trading can be profitable for those who can handle it, most copytraders find more success with steadier, longer-term strategies.

Remember: Always start with small amounts when testing any new copytrading strategy, regardless of the holding duration you choose.

Trading Frequency 📊

The number of trades a wallet makes per day is a crucial factor that directly impacts your copytrading success. Let's understand why this matters and how to choose the right frequency for your strategy.

Looking at this example, notice how the trades are clustered within similar time periods (22d-23d). This shows a pattern of high-frequency trading, with multiple trades happening in close succession.

Breaking Down Trading Frequencies:

High-Frequency Wallets:

• Execute multiple trades daily (often 20+ trades)

• Quick entry and exit positions (minutes or seconds)

• Higher cumulative transaction fees

• Better suited for larger portfolios that can absorb frequent trading costs

Low-Frequency Wallets:

• Make fewer, more selective trades

• Hold positions for longer periods

• Lower total transaction fees

• Ideal for smaller portfolios or beginners

Remember: Transaction Fees Matter

While Solana's network fees are relatively low compared to other blockchains, they still add up. Each trade you copy requires:

• A fee for buying

• A fee for selling

• Fees for the bot you are using

I strongly recommend you to follow a balanced approach:

Focus on wallets that prioritize quality over quantity. A wallet making five well-timed trades often outperforms one making dozens of rushed decisions. When starting out, lean towards wallets with moderate trading frequency - enough activity to capture opportunities, but not so much that fees eat into your profits.

Pro Tip: If your portfolio is under 5 SOL, consider following wallets that make no more than 3-5 trades per day to keep your transaction costs manageable.

Closing Thoughts 🤔

Looking for a wallet to copytrade? Here's a practical guide to what matters most:

1. The Basics: Make sure the wallet is profitable and holds SOL - this shows they're actively trading. Look for win rates around 60-65%, nothing suspiciously high, and good returns (30-50% for playing it safe, or 100%+ if you're feeling adventurous).

2. Token Choice: Prioritize wallets that trade established tokens (older than 7 days) with steady growth. This shows smart trading rather than just jumping on every new coin.

3. Holding Time: Choose wallets that hold coins for hours or days rather than minutes. This gives you a better chance of copying their trades accurately and reduces stress.

4. Trading Pace: Consider how often they trade. More trades mean more fees for you, which can eat into profits. Fewer, smarter trades often beat lots of rushed ones.

5. Copying Impact: Check if too many people are already copying this wallet. If you see big price jumps (10%+) right after they buy, that might make it harder for you to get similar returns.

Want to learn more about copytrading? Don’t forget to check out my YouTube channel for detailed tutorials and subscribe to free my Telegram Group for daily insights about crypto and copytrading.

• YouTube Channel: https://www.youtube.com/@CryptoViksantSol

• Telegram Channel: https://t.me/viksantskitchen

Mixing both sources of information, you’ll get a ton of profitable wallets, live analysis, and copytrading strategies that will help boost your returns!

Remember: Knowledge is power in Copytrading. Let's grow together! 🤝