it is also risky to hold many coins
because there is a high correlation between or you know some market - negative correlation coins? would be interessting?
so there can easy be a 80% decrease of the complete market cap from now 100 back to 20 billions
but the portfolio theory is more split = same return with lower risk. thats what you mean.
maybe just the biggest once or best performing once. maybe a strategy of the non crypto market is adaptable
Topic: What is the ideal portfolio for coins? (Read 449 times)
I am sure we all believe cryptocurrency as an industry will keep growing in the near future. It's very risky to hold just one or two coin in such a volatile environment. Diversification is a must to preserve value and hedge against risk however too much diversification may lead to low returns. Investing in bluechip coins such as bitcoin and ethereum is always good but the chances of seeing 20-30 times return is also less. Microcap coins will most likely fail but when occasionally when it succeeds it can make you rich. Midcap coins over 100 mil are a compromise between these two extremes.
As of right now I am invested in bitcoin and ethereum for about 40% of my portfolio 30% of my holding is in byteball lisk Aragon and zcash are which are all above 100 million marketcap and as far as I can tell they are good projects with good growth potential.30% of my holdings in small cap coins such as zcoin synereo and lbry. I am not sure if it's worth buying microcap coins which are less than 1 million marketcap.
So what are your opinion on the number of coins to hold in a portfolio and what types of coins are you guys holding.
As of right now I am invested in bitcoin and ethereum for about 40% of my portfolio 30% of my holding is in byteball lisk Aragon and zcash are which are all above 100 million marketcap and as far as I can tell they are good projects with good growth potential.30% of my holdings in small cap coins such as zcoin synereo and lbry. I am not sure if it's worth buying microcap coins which are less than 1 million marketcap.
So what are your opinion on the number of coins to hold in a portfolio and what types of coins are you guys holding.
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