Do we need to diversify? - page 37. | Bitcointalksearch.org

mycryptofever

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Quote from: paxmao on May 12, 2018, 11:18:14 AM

It is very wise to diversify, but not as much as to not be able to follow your portfolio. It is much difficult to adjust your positions if you have 30 or 40 coins and it does not pay really.

I totally agree its very hard to manage so many coins into portfolio and it's hard to sell them on time because not all exchanges have listening on all those coins. Have to make multiple accounts into multiple exchanges for selling and adjusting positions.

paxmao

legendary

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Do not die for Putin

It is very wise to diversify, but not as much as to not be able to follow your portfolio. It is much difficult to adjust your positions if you have 30 or 40 coins and it does not pay really.

mycryptofever

newbie

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I would always diversify rather than putting all investment into one coin. On one hand, if one coin does not perform well, the coin can save me.

jlong187

member

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Yes, it seem like a wise thing, but actually it depends on personal choice. There is risk anyway, but holding all at one is more risky to loose all

vuongappa

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Its an very old popular saying never put your all eggs in one basket like this if we diversify our holdings our risk also reduce to some extent. Its a golden rule in crypto market always diversify your holding do not depend on a single coin holding. This is very high volatile and unpredictable market. So always make a wise decision.

Dai_Hernandez

newbie

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Yes of course, diversification is one of the best ways to manage risk by mixing a wide variety of investments. A portfolio constructed of different kinds of investments will, on average, yield higher returns and pose lower risk than any individual investment within a portfolio.

jamids

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Quote from: islakevin on March 26, 2018, 06:57:48 AM

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

Yes there is a high possibility of having big profits if the price of the coin goes up but when it goes down, then you will suffer a big loss as well. Diversification reduces the risk of having big losses because you can hedge as the price of some coins goes down, at least one of the coins is going up so your loss will be reduce as well. This is just the same as having diversified businesses in the traditional business because you wouldn't want to risk losing more when it fails. You should always have a back up. No wonder all the millionaires and billionaires has different source of income to mitigate the risk.

jonhharbet

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Being into diversify our coins to hold for because as we can see that not that just 1 coin only has a posibility to increase or decrease even more, atleast we have a option on how many coin. If the other will dump dont worry because other coin will pump.

[ProTrader]

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Quote from: islakevin on March 26, 2018, 06:57:48 AM

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

We need to diversify to lessen the risk of loss. If you are only holding one coin and it is dump or something goes wrong, you will lose everything you have. But if you have more than 1 altcoin and you diversify it everytime it pumps and dump you will accumulate more profit than focusing in one coin.

adekogbe

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Diversifying is a very important part the crypto space, some may say it is the most important part because there is always going to be an air of uncertainty around the crypto space and anything can still happen to any coin.
So its safe yo diversify over a couple of good projects.

KitPat22

newbie

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Hmm, all these affirmative answers conviced me to finally buy something other than BTC and ETH. But what though, mtx, pkt, arn, ltc, iota... getting lost.

Narinderkaurklk

newbie

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We need to Diversifying our portfolio always because it will help to minimise the risk of loss from sudden downfall of this market. This crypto market is very volatile and if we put our whole money in one coin then we can lose our money at once.

yigitcoin

member

Activity: 294

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I think investment diversify is always an advantage for investors investing in the crypto-currency market. you can be a much stronger investor in this way. diversify gives you more money.

Shadovka

member

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Quote from: islakevin on March 26, 2018, 06:57:48 AM

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

Diversifying your portfolio is to make your capital less prone to risk, indeed like what you say if you go all in on one coin you will be able to earn a big profit provided everything goes well according to plan even if so it let you win 10 times in a row but you make a wrong decision on the 11 time and you can lose everything overnight. This is like gambling and not investing.

Son_of_Scryptonit

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My opinion diversification is needed for all investments.
There are many reasons for it and one of the most important is that is the only way to decrease risks of my portfolio.

NewBet

hero member

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Diversity is what will protect you from failing markets. Since the crypto market can be very unpredictable, it can be very hard to tell which coins will do we and which coins will fail so putting your money in a bunch of different coins is what will actually ensure that you are well secured and that if one fails then there is another coin that you can count on to recover your money from

Pumuckel21

sr. member

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Empowering crypto w/ sustainable energy

Yep i think diversification is very important escpecielly in the crytpo asset class. But you need to diversify your asset classes aswell and not invest all your money into cryptos, you should mix it with some company stocks and maybe if you can afford it real estate

Xioma

newbie

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Generally, if you can, you should.

It might not give you the most profit, but it will keep you safe.

BubblySheep

newbie

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diversifying your holdings may not maximize your potential profit, but it will surely keep your capital safe from heavy losses.... It is the most practical investment choice especially if you have a large amount.

neschadim

newbie

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Because you can have at a time minus one hundred percent of your investments, if all your money is in one cryptocurrency, especially the new one.

Topic: Do we need to diversify? - page 37. (Read 3768 times)