I of course had to have some of my coins diversified. But more recently I've thought of converting all three of these cryptos I own into BTC & only holding Bitcoin. I do like ETH and think that the smart contracts are great and there is a lot to build on. XRP is completely hated by the crypto community, but even if they deemed it a security the asset would probably still increase in value. NEO is Chinese and could see huge upside if adopted in that region. But Bitcoin, oh man, Bitcoin is going to the freaking moon. I'm convinced. What do you guys think about these 3 cryptos ? Can't wait to see the feedback on this lol.
As per the basics of investment rule of diversification, you must hold variety of coins so that you can escape if anything unexpectedly happen. Just to stay within the basics investment rules, I am doing like 90% of my investment into bitcoin and only for the rest of 10% I am going for other altcoins. It means I will never suggest anyone to go for holding only bitcoins. But, you may hold bitcoins in major portion of your portfolio.
In this way we may miss out some good coins which will be having rapid growth but at the same time considering how many people are getting disappointed after investing into altcoins, it would be much better to keep our investment for altcoins up to only 10%.
This is sometimes called like taking calculated risk. Yes, we are going as per the diversification rule still we are going risk free as well.