Topic: How many altcoins to hold at a time (Read 92 times)

I suggest to hold the less altcoins as much as possible to monitor easily all your investments since crypto investments is so volatile which means you will have less time to react in case you are watching bunch of altcoins at the same time and checking technical analysis.

Just invest on Bitcoin then add 2 to 3 altcoins. Choose a high marketcap altcoin like ETH, XRP and ADA then add 1 low marketcap with low allocation of your capital for your FOMO holding.

You don’t need to ride every hype on crypto. You just need to focus on quality investment over quantity since crypto is volatile investment.

That is the risk that we must face if we choose the wrong altcoin and do not have a team that cannot develop, resulting in the altcoin not being able to recover after experiencing a dump, even disappearing and ending in fraud. So you have to be very careful if you want to invest in altcoins and even though doing research sometimes does not go as expected, and you also have to update to follow developments so as not to miss the right opportunity to dump.

And as you said and only looking for the top 20 or 10 altcoins on CMC is a better choice, and especially the oldest altcoins that still survive today and have also been tested because they still have the potential to generate profits and that too for the long term like Bitcoin which should be Bitcoin is a priority that you should choose because for the long term its fluctuations are lower compared to wilder altcoins.

No need to imagine, they already did it while XRP was doing that.

XLM for long time hung around 8 to 10 or maybe 11 cents USD, I got used to placing buy-offers on it for assets on Stellar assuming XLM was worth typically arouind maybe 13 or 14 cents CAD.

Recently it jumped to 55 cents or so USD then fell back to hover around 45 cents USD with some variance that is nice for traders since the ups and downs are where profits come from.

So if you think 8 cents up to now 40 cents, or 9 cents up to lately 45 cents, there is the 5x to at least somewhat be in same ballpark as XRP's gains.

Thing is of course, what use are you gonna have for them later on when they settle back down, I never really was interested much in XRP's ups and downs last years since selling near end of 2017 the free 110k they gave out to bitcointalk denizens such as myself when they first launched, but maybe it is the ballpark of XRP is usually/normally 50 cents, XLM 10 cents, that kind of ballpark?

When XLM goes back down so what, I got more of it than last time and still have the same use for it (building buy-sides for assets on Stellar) as all along, no problem.

XRP long long ago seemed to decide to back away from the fundamental premise of the whole thing which is to track IOUs, letting you decide whose IOUs to trust how many of, seeming to decide really it is only for institutions, commoners are only meant to trust institutions not track their who owes who for last week's lunch because of which of them actually used cash to pay the tavern kind of debts.

Also of course the name Stellar sounds maybe at least as good maybe even better than the name Ripple for an interstellar / intergalactic currency.

Not sure there are any assets on Ripple I'd want to trust anyway; on Stellar at least it isn't seemingly discouraged to float my own so at least I can trust myself.

Anyone else, including players gamemasters civilisations and so on can float their own too and choose how many of which others to trust.

So hey, seems actually useful, at least to me it is something I can actually use, so if the team runs away and exchanges de-list it like HORIZON I won't mind ending up with huge percent of its coins because just like I am using HORIZON I can still go on using Stellar too.

Maybe someday the Galactic Milieu will have to seriously work on keeping XLM's buy-sides strong on all the many venues where it trades, but I am aware that could end up being necessary and sure would prefer doing that kind of work for Stellar than for Ripple...

As to original poster ought to put some of the 5k toward bitcoin, impression I got from original post is that is where it comes from, it is 5k excess profits from bitcoin trading looking to branch out into trading alts because bitcoin trading is bringing in plenty of bitcoin thanks now what else is there to consider growing hoards of... Correct me if I have wrong impression O.P.


-MarkM-

It’s tough to hold altcoins, especially the new ones, because there’s a high risk they’ll fail. The ones that pump hard often have an equally big chance of dumping and never recovering. If you really want to hold altcoins, I suggest sticking to those that have been tested over time. You can usually find them among the top 10 on CMC, as they’re more stable compared to others.

However, always prioritize investing the majority of your funds in Bitcoin. Even the altcoins I recommended (despite being tested) are still high-risk because altcoins are inherently more volatile.

Why put majority in Bitcoin ? It will likely only 2x this year maximum when altcoins will 5x, 10x , 20x or more.

Say if he was to put $4k of it in Bitcoin, hardly life changing at current price is it.

OP, as you are ok risking $5k then I would spread it across 5-8 altcoins but make them pretty safe altcoins, a few in the top 20 then rest top 100 for bit more risk. It is very unlikely you will lose all the $5k and likely you will actually make good profit overall.

XRP, a coin that many on this forum are against has pumped 600% in the last 2 months, so if the 3rd largest crypto can do that with billions in supply then imagine what others can do.

My primary reason for not being into things like Solana and LINK is what am I going to actually use them for if I do become a "whale" in them?

Presumably set up my assets there too, but as I am learning from trying to build strong buy-sides for assets on HORIZON and Stellar platforms it can take a while to build them up on a new platform, and next platform up is expected to be Diamond DMD version 4 when DMD upgrades from 3 (master-nodes era) to 4 (souped-up EVM platform with some special features for some particular app types) so I figure it will be a long long time yet before I will really be able to make much actual use of even more token-issuance platforms.

Of course that kind of idea is why most of you advise be ready to lose your entire investment; but I don't think of ending up with the bulk of the issued coins to be a loss if my whole reason for wanting them in the first place was that I can actually put them to use. If I end up owning over 51% of all XLM in existence I'll maybe have to face people's fears of someone having too much control since it is ultimately a proof of stake coin, but other than that the more the merrier, if others think them worthless I get them cheaper. It is ultimately up to me to make my coins valuable, money is IOUs afterall, someone has to "honour" them else they really are kinda worthless.


-MarkM-

Solana and LTC all the way.
 
The greatest of them all, along with ETH.
I wouldn't go with TON, though.

Maybe spread $5,000 across 10 different coins, you’re allowing for a certain level of risk there. Some might dump hard but you could find a couple of 20x plays. If I was you I’d buy some established coins like Solana & LINK but also maybe go for a couple of meme coins to try & hit the big money. Obviously it’s good that you said you can ride it to $0 if needs be because only invest what you can afford to lose. The majority of your portfolio should be in Bitcoin.

I notice you said you are a trader.

In altcoins I am not really convince that traditional trading, wherein you place stop loss triggers and so on, is really the best way; although maybe it is just that I find all that to not be worth the trouble.

What I have found successful year after year after year is to build columns of buy and sell offers so price has to chew its way through my offers whether going upward or downward.

As offers are taken I use their proceeds to replenish and strengthen and extend the other side of the order-book.

Even after all these years some coins still surprise, so even after all these years it is still worth building all the way to the bottom and insanely higher than ever likely or even unlikely at the top.

It has been a while since I used to build sell column up to 3 times what I ever imagined it could go only to wake up and find it had skyrocketed to three times that and I was left out in the cold so to speak, but still not so long since last time the price dropped far far below my lowest buy offer and I had to wait months for it to climb back up to reach my lowest sell offer so I was "back in the game". (Upon running out of buy offers at the bottom, no more proceeds from them to keep growing the sell column downwards to keep it in a reasonable range to stay in play.)

For this strategy it is best the pair be volatile since it is the ups and downs that generate the income.

It is also best that both sides be something one doesn't actually mind having and earning long term.

I had always chosen pairs of BTC versus something I was supporting, so that by always building buy side at least twice as "dense" as sell side I "ratcheted" upward the price.

Examples include https://freiexchange.com/market/IXC/BTC and https://freiexchange.com/market/I0C/BTC

From those examples you can see that with the massive proliferation of numbers of coins and tokens existing those old coins's trading-pairs get very little traffic nowadays, so over a year ago I started testing the strategy on the BTC/XLM pair at a fiat exchange I was sending BTC and XLM too anyway to cash out profits into fiat. It turns out to work so well it is what is currently paying my bills while some other coin that had previously for many years been the main bill-payer is busy being "dumped" hard by some "dumper" or other and I stupidly had failed to build a buy-side for it all the way down (since it is one I earn staking income on so wasn't bothering to also keep on doing the market-making-style trading on) so am sitting back from until dumper finishes dumping.

The points are: that it is good to have more than one, so when one isn't going so fast or well or you are out in the cold on it for a while hopefully at least one other pair will pick up the slack and keep you ahead of the bills; and that it can take a while to fully build completely both sides of the order-book so adding more can wait until ones working well fund adding more to the portfolio.

This is my "job", not some hobby or investment I do as a side-gig alongside a "day job".

Notice regardless of IXC and I0C not being great earners last few years I continue to support them.

Even if you have no other reason to, since my strategy tends to lead to becoming a "whale", you might well also end up wanting to actually support your coins of choice as you strengthen them more and more and more.

I figure it might not be as many decades as some might think before so many Stellar Lumens (XLM) are sitting as buy offers for Galactic Milieu assets that their impact on how many are left out in the wild to potentially get "dumped" will start to help drive up the price of XLM itself...

So I'd say start with a small number, since you mention 5 grand maybe try 5, and use proceeds eventually to branch out into more.

Maybe start with two too big for your grand to really have a noticeable effect on, like with me and my BTC/XLM where I just do not make a real difference yet, and three small enough you can really be a significant contributor to its fate. Or vice-versa, three too big to affect only two small enough you make a difference.

And see how it goes.




-MarkM-

One doesn't need many alts to be in profit.
On the contrary -  the more coins you would pick, especially newer ones, the more would be the risks, in my opinion.
3-4 alts would be fine, most of them, in my opinion, should be the old alts, because we know for a fact how they would behave during the alt season.

You are welcome to the forum. There are so many altcoins that have been launched in the crypto market, and one cannot possibly detect which altcoin will possibly do well and give the kind of reward you are looking for in altcoin investment. Since it is very difficult to know the particular altcoin that will do well if you invest your money in altcoins, I will advise you to stick with the bitcoin investment you started far back in 2020 so that you will not lose your money to people who are launching so many altcoins in the crypto market just to milk out investors money. But if you instead insist on going ahead to invest in altcoins, then you need to buy as many altcoins as you can so that you have the chance of getting a profit in your quest.

I think depends on how many altcoins you follow out there since market for this coins or tokens is so volatile and its good if you can make sure that you can follow the latest happening on the market so that you won't missed out those good opportunity to exit when needed.

So I guess 5 - 6 alts is good to have in your portfolio since I think with this you will not get a lot of stress for always checking. Anyways still its up to you on how many you like to add up and for sure once you are starting your investment or trade you will find way to look for new coins to add on your portfolio. Just don't rush everything and let the process dictate if you are still capable to buy new alts so no unwanted stress will occur.

Investing in altcoins is not considered diversification, but by looking for the differences between cryptocurrencies, you can divide them into 5 basic sections. Therefore, the maximum number of cryptocurrencies you can invest in is 10, in addition to risking 1-3 of the pumping coins with an amount less than $ 50.

The 5 main sections are fees, smart contracts, bridges, privacy, trend coins/tokens (currently memecoins)

For 5k you've got, just get yourself Bitcoin, and for the smaller part of the money, get ETH and SOL.
And stay a happy hodler, you will not spend a nerve on your investment and you will be safe in the long run.
If you love risk - get some newer alts in store, depending on what is trendy.

Investing in altcoin is all about risk and a game of profit and loss. I will not advice you to invest $5k in altcoin considering the high volatility of coin instead I will recommend you invest that $5k in Bitcoin irrespective of the fraction of Bitcoin the $5k can afford because Bitcoin is more viable investment than altcoin and will give you more confidence.
With this $5k you can buy some fraction of Bitcoin and then when you have more capital you can still buy more using DCA method and if you continue buying in this way before you will know it you may accumulate a reason volume of Bitcoin that will give you a significant profit in the future especially when you hold it for a very long time because the price Bitcoin is certain to appreciate in the near future.

I don't recommend any altcoins for an investment such as this, the reason is because of the high volatility in the altcoins market and loads of hype around it, of you noticed that the past 24 to 48 hours have been filled with a lot noise in the cryptocurrency community about Trump meme coins, where its price went from $10 to $83 before dumping to the present level, this show how useless altcoins can be, as you said that you already hold a good amount of bitcoin and want to diversify into altcoins, you should bear in mind that, you shouldn't take altcoins for long term investment same way you taking bitcoin unless, a few of the altcoins lime Ethereum and BNB that have proven their relevance in the market over the year and can be taken for a Ling term ride.


Avoid meme coins and their hypes and promises, it will lead to tears many have lost their investment to meme coins investments, meme coins have no user case or even a whitepapar existence and are just on hype and that is why they are always pumped and dumped without any success possibilities.

First, welcome to the forum where you can always get answers to the questions on your mind. About how many altcoins to hold, it all depends on you, but in theory the more diversification you do, the higher the chance of profit you can get or at least minimize the risk. Then, did you know that there are many types of altcoins in terms of risk, some are low risk such as tokens that are in the top 100 CMC, medium risk are usually outside the top 100 but not up to 500, while the last are coins or tokens that have small market capitalization.

For example, OFFICIAL TRUMP (TRUMP) was released with small capitalization and then within a few hours the capitalization became very large, if you invest there at that time, you won't just get x10, maybe x30 or x35. However this is high risk, the conclusion I want to convey is that it's not necessary to have a lot of altcoins to get x from your investment.

Hi all,

New here. I'm traditional equities trader that got involved with BTC in Feb 2020, and have fortunately bought at at every bottom since then. Diving into altcoins, I'm wondering how many coins do y'all recommend one should hold at one time? Let's say I'm still just dabbling and want to invest $5k (OK with this going to zero), how many altcoin do you recommend that I'd invest in for the risk reward to be 10x or 0?

Thank you,