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Topic: Is it better to have 5, 12 or even more coins? - page 3. (Read 539 times)

member
Activity: 83
Merit: 11
managing financial capital is very easy, but the hardest thing is when determining the coins you want to invest.
with money big capital of course I will do many options. 50% for Btc, and the rest of each I will use for the top altcoins.
hero member
Activity: 2884
Merit: 794
I am terrible at Fantasy Football!!!
Lets say you had to spend 12.000 USD,

would you go for option 1 or option 2?

option 1: 2.400 USD each coin = 12.000 USD total

snip


option 2: 1.000 USD each coin = 12.000 USD total

snip

Neither, I think it is a mistake to give equal weight to the coins in the way you are doing it, in my opinion the greater weight should always go towards the coins that are the most solid, will this hinder the growth of your portfolio? Perhaps, however most likely it is going to help it, someone did an experiment similar to it sometime ago and they found out that most of the gains from their portfolio came from bitcoin and ethereum anyway, so if you have them in your portfolio you should give them a greater weight than any other coin.
legendary
Activity: 3752
Merit: 1415
Lets say you had to spend 12.000 USD,

would you go for option 1 or option 2?

option 1: 2.400 USD each coin = 12.000 USD total

Ethereum
Avalanche (AVAX)
Polygon (MATIC)
Chiliz (CHZ)
Enjin (ENJ)


option 2: 1.000 USD each coin = 12.000 USD total

Ethereum (ETH)
Solana (SOL)
Avalanche (AVAX)
Shiba Inu (SHIBA)
Polygon (MATIC)
Cosmos (ATOM)
Decentraland (MANA)
The Sandbox (SAND)
Gala (GALA)
Chiliz (CHZ)
Enjin (ENJ)
Keep network (KEEP)


I mean specifically those coins not sure who can give you an honest opinion that you should use.  But generally speaking yeah you want to diversify.  But not so much that you start getting coins like shib in there.  By the way where is bitcoin in these 2 choices.  Is this just what you are looking in terms of alts?
staff
Activity: 2436
Merit: 2347
You are trying to transfer a pattern that comes from the stock market, where there is the slogan: Don't put all your eggs in one basket. But I don't think that works well for the crypto market. For one simple reason: The vast majority of cryptos are similar in price to Bitcoin. If Bitcoin falls, so do all the others. If Bitcoin rises, so do all the others. Therefore, I would rather take Bitcoin as a fixed anchor in my portfolio and then add 2-3 promising projects. More than 5 coins in a portfolio for diversification is not necessary.

It also works for the crypto market if you categorize your portfolio by the duration of the investment itself: short-term, medium-term, long-term investments. I disagree about the similarity to bitcoin. Because there are often times when bitcoin falls and altcoins start to rise. Think back to 2018, for example, when bitcoin collapsed and altcoins started to rise in value. This happens because investors like to move from bitcoin to altcoins, diversifying their risk, a hedging strategy that works great in cryptocurrency as well.
legendary
Activity: 2548
Merit: 1009
Leading Crypto Sports Betting & Casino Platform
I'll go for option 2 I believe with $12k it's more balanced to have many coins in your portfolio, it's better to include those that are on different algo and different industries, the Cryptocurrency market is so huge to limit your portfolio to only five coins, you can explore as many coins as you can for $12k and all coins have different ways and timeline to pump.
If I have fund about $12k look all in on one coin is better based on my opinion because when reach higher price get much profit, but is not wrong when getting with several altcoin or have option until 5 coins on your portfolio but not guarantee with all your coin will growing up together, you have waiting when moment for all coins can up to higher price to earn profit, but with option investing on one altcoin only when getting up you can earn profit although with one coin investment.
sr. member
Activity: 1033
Merit: 250
Leading Crypto Sports Betting & Casino Platform
It's easier to monitor 5 different altcoins than 12 and it costs less to invest in 5 altcoins, for example, I only invest 100$ on any new altcoins to lower my risk, this is the amount that I can afford to lose if anything goes wrong, 200$ and more is only for old popular altcoins.
Everyone has their own strategy and choice in this matter because maybe it could be better if you choose only five altcoins and all five are popular altcoins, but if those five are new altcoins, I think the risk is much greater, even though the benefits are also not small, but everyone should always be more aware of the potential losses that can occur in new altcoins
legendary
Activity: 3346
Merit: 1214
Payment Gateway Allows Recurring Payments
I'll go for option 2 I believe with $12k it's more balanced to have many coins in your portfolio, it's better to include those that are on different algo and different industries, the Cryptocurrency market is so huge to limit your portfolio to only five coins, you can explore as many coins as you can for $12k and all coins have different ways and timeline to pump.
member
Activity: 280
Merit: 10
I don't see anything wrong if you have the money to invest in even 30 coins, all the top 50 coins on coinmarketcap are good altcoins, diversification should not have a limit like I've said, if you have the money, just do your own research and choose coins wisely, they don't survive without any good utilities.
tyz
legendary
Activity: 3360
Merit: 1533
Successful investing revolves not around large profits, but around minimal risks. And minimal risks in your investment portfolio can only be achieved through portfolio diversification. That is, you should not invest in only 2-4 projects, although it may be attractive in terms of profits, but you should still put the safety of your funds in first place. Therefore, in the context of your choice, I would recommend you option 2.

You are trying to transfer a pattern that comes from the stock market, where there is the slogan: Don't put all your eggs in one basket. But I don't think that works well for the crypto market. For one simple reason: The vast majority of cryptos are similar in price to Bitcoin. If Bitcoin falls, so do all the others. If Bitcoin rises, so do all the others. Therefore, I would rather take Bitcoin as a fixed anchor in my portfolio and then add 2-3 promising projects. More than 5 coins in a portfolio for diversification is not necessary.
sr. member
Activity: 1246
Merit: 252
For me, the more we diversify our investment, the better the outcome will be.
Cryptocurrency is a volatile currency, so we will having high risk when we put our money on it.
So, better to have 12 coins than only 5 coins because we spread our risk evenly.
Currently I already have 10 kinds of cryptocurrencies that I hold and also trade on a daily basis, but the results always depend on how volatile market conditions are, because when the market improves, it is easier to make profits, but when the market starts to deteriorate, then to make a profit have to be patient.
sr. member
Activity: 1638
Merit: 251
Hexhash.xyz
For me, the more we diversify our investment, the better the outcome will be.
Cryptocurrency is a volatile currency, so we will having high risk when we put our money on it.
So, better to have 12 coins than only 5 coins because we spread our risk evenly.
member
Activity: 234
Merit: 35
Moon.win
It's easier to monitor 5 different altcoins than 12 and it costs less to invest in 5 altcoins, for example, I only invest 100$ on any new altcoins to lower my risk, this is the amount that I can afford to lose if anything goes wrong, 200$ and more is only for old popular altcoins.
member
Activity: 201
Merit: 31
KUWA.ai
For better profits I prefer investing money on tiny altcoins that have room for high growth, new coins are better not hold coins that have already did some 100x since they launched, with 12000USD I will pick 8 new gems and see what happens.
sr. member
Activity: 1498
Merit: 443
I think it depends on each to allocate the capital in what coins. Personally, I will divide it into two parts, the first capital is the biggest capital where I will invest in a coin that has good and reliable prospects, after that, I will buy other coins according to what coins are good or new coins with good potential now. so as I said that each person has different in allocating their capital. apart from that the coin that is chosen and also how we manage crypto assets also greatly influences the profits that will be obtained in the future.
full member
Activity: 1344
Merit: 110
SOL.BIOKRIPT.COM
It is great to have more coins than less. As they say put your eggs in on different baskets. I do have less than 10 coins, because this is the only amount of coins I can afford as of now, Bitcoin and eth are the majority holdings and others are just few hundreds. Got my hands full at the moment, and maybe if I have given another opportunity to buy, thinking of adding another sets of coins. As long as I can eat well, the savings are going to crypto investments.
hero member
Activity: 2814
Merit: 518
I choose option 1.
5 coins are just good enough for me but I guess it needs some diversification as those coins are not good for holding. Why not include BNB and Sol there? In fact, they are worth more than those coins like Chiliz and Enjin.

Well, anyway, OP must have known the risk upon investing, I'd choose a small number for I can see less risk in this option. But yes, we have different game plans and strategies but you know what, your choices of coins aren't really good. I suggest changing it for better results.

hero member
Activity: 2310
Merit: 532
Enterapp Pre-Sale Live - bit.ly/3UrMCWI
The portfolio doesn't want to be limited. It can be of any number of cryptocurrencies. Here the top 5 needs to be given importance, which means the value invested needs to be high against the rest of the holdings. Having limited coins or high number of altcoins is not at all an issue, because these days it is quite easy to manage the holdings with ease with the available applications.
jr. member
Activity: 206
Merit: 2
the more you HOLD coins, the more dizzy you will be managing it, yeah, only 1 to 5 coins is enough,
and what definitely must be on your investment list is Etherum, BNB, TerraLuna, Solana, and Matic,

the number of communities of these coins will makes you more comfortable, don't worry,
buy when the price drops and sell when the price is expensive


Terra is too risky at the moment. I dont like buying Coins when they are on ATH
sr. member
Activity: 2002
Merit: 250
the more you HOLD coins, the more dizzy you will be managing it, yeah, only 1 to 5 coins is enough,
and what definitely must be on your investment list is Etherum, BNB, TerraLuna, Solana, and Matic,

the number of communities of these coins will makes you more comfortable, don't worry,
buy when the price drops and sell when the price is expensive
legendary
Activity: 2716
Merit: 1225
Once a man, twice a child!
~snipped~

my argument for having Sandbox and Mana is because I cannot say for sure which project will explode and which not. Both have the potential.
I get your argument. Both Sandbox and Decentraland (MANA) have great potentials with Sandbox having a larger maximum supply than Mana at 3 billion max. In a situation like that where you're caught in a moment of indecisiveness, I will suggest you take off one on the list which you aren't too sure of like the other two. Then you increase the quantity you're buying for both. If you're long term, then desist from constantly checking your portfolio once you've purchased then.
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