Crypto Trading Glossary for Solana Shitcoin Traders
Table of Contents
Essential Definitions for Solana Shitcoin Traders
Welcome to the complete glossary for the Solana Shitcoin Trading Series.
This page explains all the terminology used across our guides, tutorials, and trading strategies.
Clear, beginner-friendly definitions — with a touch of degen spirit.
A#
Address (Wallet Address)#
A unique identifier for your crypto wallet. Used to send and receive SOL and tokens.
Starts with characters like 5F... or 9x....
AMM (Automated Market Maker)#
A decentralized exchange model used by Solana DEXs like Raydium, Orca, and Jupiter, allowing automated token swaps via liquidity pools.
Auto-Sell#
A trading automation feature that sells your position when predefined profit or stop-loss conditions are met — essential in fast-moving Solana markets.
Full explanation:
B#
Bag#
The tokens you hold. If the price dumps and you still hold, you officially have “a bag.”
Blacklist Mechanism#
A malicious token feature preventing certain wallets from selling.
Common in honeypots and scam tokens.
Breakeven Stop Loss#
A stop loss that shifts to your entry price after hitting a profit target, guaranteeing you can’t lose your initial capital.
Full guide:
Burned Liquidity#
When LP tokens are sent to an irrecoverable wallet, making liquidity unremovable.
Often marketed as “safe,” but not foolproof.
C#
Candlestick (Candle)#
A technical chart element showing open, close, high, and low prices for a time period.
Consolidation#
A sideways trading range with low volatility. Often precedes breakouts or breakdowns.
Compute Units (CU)#
Solana execution resources. High-activity periods may require priority fees to process transactions faster.
D#
DCA (Dollar Cost Averaging)#
Investing fixed amounts over time. Rarely used in shitcoin trading due to rapid volatility.
Degen#
A trader who embraces high risk. In this blog, it means you, but with smarter risk management.
DEX (Decentralized Exchange)#
Platforms like Raydium, Jupiter, Orca, or Phoenix where tokens trade directly from user wallets.
Dump#
A sharp downward price movement usually caused by whales selling, liquidity issues, or rugs.
E#
Entry Price#
The price at which you buy a token. Used to calculate risk, profit targets, and stop losses.
Exit Liquidity#
What you become when you buy a token right before someone else sells.
Avoid at all costs.
F#
FDV (Fully Diluted Valuation)#
Market cap assuming all tokens are in circulation.
High FDV + low liquidity = danger zone.
Freeze Authority#
A token permission allowing devs to freeze wallets or balances.
If not revoked → huge red flag.
G#
Gas Fees#
Transaction fees on Solana. Usually minimal but may spike during congestion, requiring priority fees.
Grid Sell#
Selling portions of your position at multiple profit levels — useful for locking in gains while letting the trade run.
Covered in:
H#
Honeypot#
A scam token that allows buys but blocks sells.
Always check token permissions, authorities, and liquidity before trading.
High Volatility#
Rapid price swings — characteristic of Solana shitcoins.
High risk, high opportunity.
L#
Liquidity#
The amount of money available in a token’s pool.
Low liquidity → high slippage + high rug risk.
Liquidity Pool (LP)#
A pool of SOL + token pairs enabling decentralized swaps.
Limit Order#
An order to buy/sell at a fixed price. Not often used in shitcoin trading due to speed requirements.
M#
Market Cap (MC)#
Token value = price × supply.
Determines volatility and pump potential.
MEV (Maximal Extractable Value)#
Value extracted by bots through front-running and back-running trades.
Exists on Solana too — often invisible to beginners.
Mint Authority#
The power to mint new tokens.
If active → extremely unsafe.
O#
Order Book#
Traditional exchange structure used by limit orders.
Not common in meme trading.
P#
Parabolic Move#
A steep upward price movement. Exciting, but usually followed by a correction or dump.
Position Size#
How much SOL you risk in a trade. Critical concept covered in G001.
R#
Resistance#
A price level where selling pressure typically stops upward movement.
Rugpull#
A scam where devs drain liquidity or manipulate token mechanics to crash the price.
S#
Slippage#
The difference between expected and executed trade price.
Severe in low-liquidity tokens.
Slippage Tolerance#
Your chosen limit for acceptable slippage during a trade.
High volatility may require 5–15%.
Sniping#
Buying a token immediately at or near launch.
High reward, extremely high risk.
Static Stop Loss#
A fixed stop-loss level that doesn’t move.
Full guide:
Stop Loss#
An automated sell order that triggers when the token price drops to your predefined risk threshold.
Used across the entire G-Series.
T#
Technical Analysis (TA)#
Chart-based decision-making using patterns, indicators, and candlestick data.
Useful but not required for degen trading.
Trailing Stop Loss#
A stop loss that automatically moves upward as price rises, protecting your profits.
Full guide:
Trading Bot#
A trading bot is an automated script or tool that executes trades for you based on predefined rules. In Solana shitcoin trading, bots are essential because prices move too fast for humans to consistently react.
Trading bots can:
- place stop losses instantly
- update trailing stops in real time
- move stops to breakeven automatically
- run grid sells without emotion
- trade 24/7 without hesitation
Bots don’t guarantee profit — but they guarantee execution discipline, which is the real edge in high-volatility meme markets.
V#
Volume#
The total amount traded in a given time period.
Higher volume = healthier market conditions.
W#
Whale#
A wallet holding significant amounts of a token.
Whale buys/pumps can create massive volatility.
Need a term added? Contact the Roo team.
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