Hi all, I'm new to Crypto market, would like to ask for the newbie is better to have diversified investment (Ex : 1000 invest to 5 coin , 200 each ) or concentrated investment (1000 invest to 1 coin only ) ? Because I'm thinking that if i split the budget to multiple coin, risk might be low.
I would say start with a small number of different coins. Maybe just bitcoin plus one top alt such as Ethereum. The reason being that it is easier to keep up with news on just a couple of big coins, and you can see how and why the price changes, and get a good idea of when to buy in and when to sell. Once you're comfortable with this, and understand more about how risk increases as you move towards lower cap coins, then maybe expand a bit.
It can be tempting to spread out across a lot of different coins, but it's just too hard to keep up with it all.