I have some references to that strategy, and as far as I am aware, some investment projects in cryptocurrencies such as Crypto20 claim to be using it, with relatively good results. I personally am not interested in this strategy because throughout my career as a trader I have focused on very few options when it comes to investing, and I prefer to study each cryptocurrency with dedication to have some degree of certainty in its future behavior, before to hold a lot of them to make my gains depend on the laws of probability.
Here is a good article that details a comparison between HODL and rebalancing:
https://hackernoon.com/rebalance-vs-hodl-a-technical-analysis-6f341b0db9cdJust to be clear, rebalancing does not select the assets for you. You still need to select the assets you wish to have in your portfolio. So, you get to do the research and make sure your portfolio holds the assets you want to hold. Some services like Crypto20 automatically select the portfolio, but services like Shrimpy do not.