Topic: Diversifying Your Portfolio in Crypto - page 2. (Read 1250 times)
Yes its best strategy to divide portfolio. Some extra stable is compulsory in your portfolio and wait for big crash. These stable coin should only used when market totally dumped and are in full fear. This can give easy 2x - 3x ptofit when bitcoin stable for sometime.
although altcoins follow the movement of bitcoin, they have a different percentage increase in movement, and usually the increase in altcoins is higher than bitcoin. For diversification, I think choosing bitcoin and some of the top altcoins will make our funds more secure and we will get a bigger profit as a result of the increase in altcoins. for me bnb and eth remain my favorite must-have altcoins
Since bitcoin always dominates the crypto market, bitcoin will always be my top investment with its highest allocation. And investing into leading altcoins like ethereum, BNB, and SOL will be good alternatives to diversify my portfolio. However, you can have your own choice of coins which you think will become profitable in the future. Others are taking risk investing in meme coins, but they are only good once there is hype and investing in memes will only be profitable for short term, but if you aim for huge profits, look for the most established coins in the market as they always recover every time there is dips. Thank you for this Helpful advice.
Some Youtuber or crypto Analyst says. put your money in different coins, memes, Exchange coins, Metaverse and gaming coins, DeFI coins etc
What is the Psychology behind that advices.
Some Youtuber or crypto Analyst says. put your money in different coins, memes, Exchange coins, Metaverse and gaming coins, DeFI coins etc
What is the Psychology behind that advices.
I don't know about the psychology, but as I said before, diversifying is about reducing risk, but reducing the potential return as well.
In classical investment theory, one must diversify to avoid losing everything. If you put your money in shares of a single company, there is a very high risk that you will lose it all, even if the company is a good one. However, if you divide your investments among several stocks, properties, commodities, etc. you reduce the risk a lot.
In the crypto world this seems silly to me, as all alts have been proven time and time again to lose against Bitcoin in the long run. The only more or less solid contender is shitEthereum. There are many fancy alts that promise they are going to be the next Bitcoin but just as quickly go up as they go down.
I would recommend you diversify but into other assets. If buying crypto buy Bitcoin, and if anything a bit of Eth or some other you trust (lol) and if you want to diversify more, buy stocks, mutual funds, RE or commodities.
Precisely.
Diversifying your portfolio means reducing risk because your plan is for long term, not short term trading, so basically you ignore all the opportunity you might miss because let's say you put low leverage. Your return might be low but at least you're safe from big liquidation, your funds are safe, and you're making it to survive for long term.
Diversifying also means that your plan is solid, not based on news but based on the data and information you've got on your research.
Everyone should try to diversify their assets which doesn’t mean that you should end up buying hundreds of cryptocurrencies that will end up amounting to nothing. Like I do see some people who would buy more than 20 cryptocurrencies and store in their wallets, and it makes me wonder what the hell they’re really doing?
You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
This is the misunderstanding of others. When it's been said that they should diversify, they're going for tons of altcoins that they shouldn't really do. It's okay to diversify whether you only have 2 or 3 altcoins to diversify with.You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
With that strategy they do, they're going to learn from it and will eventually have to sell the others and will lessen the number of their altcoins and won't expand that much just to make themselves diversified.
More on your understanding of assets that you will hold and how you project the future of your investment.
There's a deeper sense for being diversified and it's not even impressive when somebody gets to hold a bunch of dying coins and tells the others that he's diversified with his assets.
Seriously my own believe is that the only coin that's not a shit coin is bitcoin, any other coins are shit coins but if you are into cryptocurrency I believe you should still diversify your portfolio but make sure the higher percentage of the coin in your wallet is bitcoin, then you can invest in other altcoins because you don't really have to depend on only one coin. Sometimes some coins don't really follow bitcon movements incase if any coin in your wallet those that you can easily take your profit.
Ohh yeah...then it means that ETH and BNB are shitcoins considering that only Bitcoin is legit and not shitcoins? I don't know what you are thinking mate but your wrong. We can't generalize the market as these altcoins, even many of them are worthless, junks, or whatever we call them, still we can find good projects from them. Coz if you are right, then there is no sense to invest in crypto. If you believe that Bitcoin is the only profitable in coin in the market, that was your presumptions but the majority had think differently from you, we still trust altcoins the same thing we trust Bitcoin.
Seriously my own believe is that the only coin that's not a shit coin is bitcoin, any other coins are shit coins but if you are into cryptocurrency I believe you should still diversify your portfolio but make sure the higher percentage of the coin in your wallet is bitcoin, then you can invest in other altcoins because you don't really have to depend on only one coin. Sometimes some coins don't really follow bitcon movements incase if any coin in your wallet those that you can easily take your profit.
Diversifying your crypto portfolio is that the act of finance your cash in varied crypto comes to scale back risk if one or additional comes perform poorly. Implementing a diversification strategy additionally permits you to realize the most effective potential returns even once a number of the portfolio things perform poorly
Everyone should try to diversify their assets which doesn’t mean that you should end up buying hundreds of cryptocurrencies that will end up amounting to nothing. Like I do see some people who would buy more than 20 cryptocurrencies and store in their wallets, and it makes me wonder what the hell they’re really doing?
You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
This is the misunderstanding of others. When it's been said that they should diversify, they're going for tons of altcoins that they shouldn't really do. It's okay to diversify whether you only have 2 or 3 altcoins to diversify with.You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
With that strategy they do, they're going to learn from it and will eventually have to sell the others and will lessen the number of their altcoins and won't expand that much just to make themselves diversified.
More on your understanding of assets that you will hold and how you project the future of your investment.
Everyone should try to diversify their assets which doesn’t mean that you should end up buying hundreds of cryptocurrencies that will end up amounting to nothing. Like I do see some people who would buy more than 20 cryptocurrencies and store in their wallets, and it makes me wonder what the hell they’re really doing?
You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
This is the misunderstanding of others. When it's been said that they should diversify, they're going for tons of altcoins that they shouldn't really do. It's okay to diversify whether you only have 2 or 3 altcoins to diversify with.You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
With that strategy they do, they're going to learn from it and will eventually have to sell the others and will lessen the number of their altcoins and won't expand that much just to make themselves diversified.
Everyone should try to diversify their assets which doesn’t mean that you should end up buying hundreds of cryptocurrencies that will end up amounting to nothing. Like I do see some people who would buy more than 20 cryptocurrencies and store in their wallets, and it makes me wonder what the hell they’re really doing?
You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
Diversification is good because its less likely to suffer a major financial blow if you know how to spread your wealth into the potential coins in the crypto market. And in fact, it will help you to generate a lot of profits from different resources, and you won't be afraid to see if one of your investments falling because you still have other investments that will provide an income for you.You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
on their investment.Some doesnt really like to take risks even more and decide to stick into one investment but honestly it would really be good on having lots of sources
even though it is more risky but tendency of recovery and patching up is high.
Truly speaking, when it comes to diversification of portfolio in the crypto space, its really difficult as, only one commodity have been known to stand out or is almost a 100 or should I say 99% assuring and that's Bitcoin. Its no surprise that, so many persons might go all in and just hodl for a long time. The few who might care to invest in other crypto commodities out there do so basically, not gor the safety reasons that could derived from diversification of portfolio but, to seek opportunities in blindspots. Although, we could consider it a security in some way, as the gains from one side might compensate for the lose on another end.
Everyone should try to diversify their assets which doesn’t mean that you should end up buying hundreds of cryptocurrencies that will end up amounting to nothing. Like I do see some people who would buy more than 20 cryptocurrencies and store in their wallets, and it makes me wonder what the hell they’re really doing?
You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
Diversification is good because its less likely to suffer a major financial blow if you know how to spread your wealth into the potential coins in the crypto market. And in fact, it will help you to generate a lot of profits from different resources, and you won't be afraid to see if one of your investments falling because you still have other investments that will provide an income for you. You can just buy few cryptocurrencies and store them, as long as you are very sure that they are really good and they’re going to make the profit you need.
Everything that means diversifying our money is something excellent, however, currently we have a market where it is concentrated on mere uncertainty, therefore in my case I have a somewhat diversified portfolio, and seeing the value in FIAT money makes me sad because one always expects to see good results and/or benefits, but one must have the conviction that the best is what happens, and as the price of BTC falls, it will also rise, such is the market, an ingredient that always makes a difference is volatility, that is why you must have a lot of patience.
I keep asking myself the following:
- when the price of bitcoin drops a lot, the price of altcoin drops a lot because they follow the price of bitcoin. How is it possible to call it diversifying investment when someone buys bitcoin and altcoins?
diversify investment would be to buy bitcoin and altcoins, buy gold, houses, do business in the real world
Still diversification yet you had allocated your investment on other spot even though not on different industry but still counted or considered out which it isnt a bad idea since we know that diversification is best as long- when the price of bitcoin drops a lot, the price of altcoin drops a lot because they follow the price of bitcoin. How is it possible to call it diversifying investment when someone buys bitcoin and altcoins?
diversify investment would be to buy bitcoin and altcoins, buy gold, houses, do business in the real world
your finances permits you to do so because not all would really be having the capability on doing so thats why it still a considerable act but you shouldnt really be that careless
on choosing which one but rather thinking up potential coins which could really give out that advantage.
I divided my portfolio in four parts
1: Long term
2: Short term
3: IDOs launchpad coins
4: spare Usdt
In long term i bought three coins and expecting nice profit in 2 years.
I choose top trending coins for short term
Some spare Usdt is also part of my portfolio,if market down i will not miss this chance
I did something a bit similar. I have a situation where I divided it into bitcoin, some high level altcoins (eth, ltc, so on) and the rest is in small cap altcoins (just 5-7% right now) that looks like it has very little chance but if it does then I would make a lot of profit in return. I was right with just one of them, wasn't really a good deal until that one but that one recovered all the other loss and then some.1: Long term
2: Short term
3: IDOs launchpad coins
4: spare Usdt
In long term i bought three coins and expecting nice profit in 2 years.
I choose top trending coins for short term
Some spare Usdt is also part of my portfolio,if market down i will not miss this chance
So, I feel a bit better about it, I hope that I get a few more this year, it really does bring out a lot. I usually do not touch them, just let them grow as much as possible. One of the bad sides about swaps is that there is no stop loss there, you have to do it manually and missed out on many things that went up a lot and then crashed.
Diversifying portfolio in crypto universe is only useful to take advantage of price increasements of altcoins, which can be superior in % to bitcoin price increasements sometimes. Let's say bitcoin has rised 10% in a month period, while an altcoin else has rised 30% on that same time period. So if you had your portfolio splitted among some different altcoins, including the one which rised 30% in value, you would profit more than just holding bitcoin in your wallet.
That is just a hypothetical scenario, though. It's much safer to only hold bitcoins for long term gains. Altcoins are too risky even when compared to bitcoin investment.
That is just a hypothetical scenario, though. It's much safer to only hold bitcoins for long term gains. Altcoins are too risky even when compared to bitcoin investment.
I keep asking myself the following:
- when the price of bitcoin drops a lot, the price of altcoin drops a lot because they follow the price of bitcoin. How is it possible to call it diversifying investment when someone buys bitcoin and altcoins?
diversify investment would be to buy bitcoin and altcoins, buy gold, houses, do business in the real world
- when the price of bitcoin drops a lot, the price of altcoin drops a lot because they follow the price of bitcoin. How is it possible to call it diversifying investment when someone buys bitcoin and altcoins?
diversify investment would be to buy bitcoin and altcoins, buy gold, houses, do business in the real world
All you hear about these Trading and Investing rules that " Dont put all your eggs in one basket " or " Diversify your portfolio "
But how we Apply these rules in Crypto Market.
When Bitcoin moves 95% alts dumped. BTC moves up or down, Alts goes down. where we invest and no one can predict the market movement.
So what would be the right strategy of Diversifying Crypto Portfolio...
I divided my portfolio in four partsBut how we Apply these rules in Crypto Market.
When Bitcoin moves 95% alts dumped. BTC moves up or down, Alts goes down. where we invest and no one can predict the market movement.
So what would be the right strategy of Diversifying Crypto Portfolio...
1: Long term
2: Short term
3: IDOs launchpad coins
4: spare Usdt
In long term i bought three coins and expecting nice profit in 2 years.
I choose top trending coins for short term
Some spare Usdt is also part of my portfolio,if market down i will not miss this chance
Bitcoin is a museum piece. It won't burst. Dust particles will always be blown away from it. But. it is dead as a technology.
https://bitcointalksearch.org/topic/ann-ethereum-welcome-to-the-beginning-428589
https://bitcointalksearch.org/topic/ann-ethereum-welcome-to-the-beginning-428589
Investing in Bitcoin with a little fund is like crawling your way to the top. If you must hold Bitcoin, to and make good returns then you should have massive capital to fund your way up. To curb this issues there are projects that has a promising end so its more wiser to do a portfolio diversification. Now different coins are built on different smart chain network so it's good enough to do enough research and make an investment ignoring if the dip along Bitcoin if it dips also remember most of this projects will also upsurge once the price inflates
Huge capital = huge return but can be of huge losses as well if got mistaken.Small capital = small returns but can be of small losses as well.
Thus, if you were afraid to lose more then they have to choose to invest only a small amount. In fact, the majority of the investors had to start with small capital until such time that they can afford to lose more. It possibly happens to other people, for the starters. This is not a contest and what is important is we are already equipped with knowledge and skill in trading, not just money.
Very practical. If you are not into a high-risk investment, better to start small and learn the process step by step. By doing that, you will be more familiar with how the market works and you will understand the very concept of this investment. There are ways to succeed but the sad thing more newcomers thinks that it's just an easy venture to earn a lot, this misconception needs to take away, better to engage with small capital and try to see if the pattern or system that you are using would be fit with your chosen project.
If you are fully convinced that you are ready to divert decent amount of your portfolio, your chance is better since you
start from small and you are just adding some amount that you are also willing to risk from this market.
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