For example, you have some altcoin (in my case it's Metaverse ETP) and you expect it to grow. But in a weak market, this altcoin behaves like bull and you have the opportunity now to sell it and buy an asset that looks weak in the market (for example Qash, Tierion, Nem, Odyssey or Republic Protocol) in order to get the greatest possible profit. Or leave a strong asset and wait for its further growth. What do you think about this?
Crypto diversification is silly. I learned it the hard way. When Bitcoin goes down, every coin goes down worst but when Bitcoin goes up or even sideways, altcoins have a great price action. So what happens to your portfolio with many altcoins, you lose or gain a lot.
Real portfolio diversity means investing in fiat, gold, or some direct investment. Something that runs counter to the markets.