From basic economic principles, if you have a higher capital, you will certainly have higher returns compared to starting with a smaller capital.
But the opposite effect also works here: the more capital you operate, the greater the losses in case of an unsuccessful outcome. That is, risks with higher “stakes”.
REMEMBER
50% profit on $1000 is $500
5% profit on $100,000 is $5000
THE IMPLICATION IS;
Don't chase bigger returns, chase more capital. This is also applicable to How much you invest in Bitcoin and how much profit you can get from it.
REMEMBER
Investing in bitcoin $1000. profit on x2-x3 is
$2000-$3000 Investing in altcoin (not all altcoins, but only some) $1000. profit on x5-x10 is
$5000-$10,000 (but you are more likely to get a different result - x0)
In the case of cryptocurrencies, this
works a little differently.
Or simply speaking about the possible gains that you could really be able to get in dealing in between Bitcoin in compared into those low caps or altcoins which those prices are still cheap or undervalued.
This is one of the main reasons on why tons of people are really that considering on taking up such step on investing into altcoins because of that profitability possibilities on which we know that this could
really be something that will really be giving out that chance on making some nasty profits. Speaking about on the capital that you would be needing then of course not all people or investors would really be having that huge amount into their pockets on which there would really be those main differences in between to those who are really that having big or small capital.
It would really be that understandable on who do have that advantage specially to those who do have bigger capitals on which probability of gains could be high on a small volatility of the price or simply
with the percentage but come to think that when it comes to probability of losing then it would really be also bigger. This is something that you should really be that considering on such aspect.
So it would really be just that depending on how someone would really be making themselves handle out such risks.