Introduce a five-tiered investment method
According to the portfolio will be currency divided into five levels:
The first floor: a large stable growth currency
The second level: the steady growth of developing currencies
Level 3: Developing unstable currencies
The fourth floor: Emerging growth currency
The fifth floor: speculation
The first floor: a large stable growth currency
This layer in my portfolio accounted for the majority, about 70%. Since cryptocurrency trading is now my source of income, I need to make a profit every month to support my living expenses. This has changed my risk profile, and I am now more interested in being able to grow steadily than to pursue 10x growth.
This level of currency needs to be met (but not limited to):
Top ten in market capitalization
The market value of over one billion US dollars
Exist for more than a year
The above criteria ensure that I invest in the most promising long-term currencies and that they have a brand, a development team, and trackable historical prices.
If you look at the chart Dash below, this is a perfect example of why these currencies account for most of my portfolio. Ignoring recent price increases, Dash has remained steady and unaffected by the market collapse in June / July.
Five-tier classification, the high-quality cryptocurrency swept the net
The mix will change, but so far this tier includes the following currencies:
Bitcoin
Bitcoin Cash
Dash
Ethereum
Litecoin
Monero
NEO
Iconomi
Ripple
Ethereum Classic
Some necessary explanations:
Ribo is a small investment in the past, is now clearance
ETC was acquired by Ethereum Hard Fork for free at a very small number
By market size and rankings, Iconomi does not meet this tier of standards but it is one of my key investments because I think it is a fantastic project whose growth will be similar to that of other currencies at this level
The second level: the steady growth of developing currencies
The second level is for those with lower market value but the steady rise in the currency. These currencies are more vulnerable to market conditions than the first tier but are also resilient when markets collapse.
The second tier has a lower market value than the first tier, and the gains may be higher if they keep pace.
This layer of currency needs to be met:
Top 50 market capitalization
Over 100 million US dollars in market capitalization
Exist for more than a year
Look at the MaidSafeCoin chart below and you can see the steady rise in prices this year, though the market crash in June / July has ebbed despite the high market in May / June. But it has recovered well and looks like it's going to record highs.
Five-tier classification, the high-quality cryptocurrency swept the net
The mix will change, but so far this tier includes the following currencies:
Komodo
BAT
Augur
Maidsafe
Factum
Cofound.it
Waves
Lisk
Ark
PivX
Level 3: Developing unstable currencies
The third and the second floor are very similar, but the price is more volatile currency, or at some point may be up too much, or the development team trying to control the price of the service class tokens.
Although the price is not as stable as the second tier currency, if I believe in this project then I will keep those currencies in my portfolio as this will likely make a good long term investment.
This level of currency needs to be met:
According to the market value of the top ten (the original text so, it should be wrong)
More than $ 1 billion in market capitalization
The Siacoin chart below is a good example of an unstable growth currency. Prices rose during the May / June big market rally and dropped with market adjustments in June / July and did not completely fall back to the starting point and are now sideways. They make up a small part of the total portfolio, but any significant adjustment can yield significant returns.
Five-tier classification, the high-quality cryptocurrency swept the net
The mix will change, but so far this tier includes the following currencies:
Stratis
Syscoin
Siacoin
Storjcoin
Golem
Steem
NextCoin
Ardor
EOS
The fourth floor: Emerging growth currency
The fourth layer of currency investment accounted for only a small proportion, they also grew better, showing a stable signal. If these currencies continue to exert force, may become the next NEO, will enter a higher level. I tried these items early on the train, looking forward to fly.
This level of currency needs to be met:
Top 100 by market capitalization
Super 25 million US dollars market capitalization
The blocknet below is an example of this, where you can see the steady increase in prices since April / May, still rising in June / July, reaching a new high
Five-tier classification, the high-quality cryptocurrency swept the net
The mix will change, but so far this tier includes the following currencies:
TaaS
WingsDAO
LBRY Credits
Blocknet
GameCredits
Edgeless
Monacoin
The fifth floor: speculation
These are speculative small-cap funds for the new currency, these currencies are signs. I try to get in the morning as much as possible and get ready for zeroing. But if they become an important project, then the return is amazing.
The only standard for currency in this tier is that it has a market capitalization of 100, so they have small market capitalization.
The picture below shows Chronobank, the kind of speculation I was looking for. Currently, the market capitalization 144, to 14.7 million pounds. It's good, but it's volatile. I will hold such a currency for a long time, because this level only a very small part of my portfolio. There was a time when NEO was part of this hierarchy, so things came fast.
Five-tier classification, the high-quality cryptocurrency swept the net
The mix will change, but so far this tier includes the following currencies:
Zencash
GridCoin
SynereoAMP
TokenCard
ZCoin
RLC
Matchpool
Verge
Swarm City
LomoCoin
Mysterium
Chronobank
Above, I see someone else a very professional investment strategy. The idea is a professional standard, so I personally crossed the investment blind, random, unable to adhere to the pit and so on, no longer afraid of assets to zero, but have long-term reasonable expectations. Share to everyone, but also hope to give more impetuous heart more calm.
At the same time, I hope the Forum God a lot of guidance, educated us. Feel good, send merits or replies, communicate together. later will continue to share some of their own shallow understanding. Welcome brick! Forgive me for not being good at English !