Looks like you and hedge funds management  have different views on  crypto portfolio diversification . Look for example on "partial portfolio snapshot as of April 24, 2018" relevant to coincapital.

https://www.coincapital.com/portfolio





As you can see diversifying crypto portfolio for them means investing in deferent crypto asset classes  which are much wider than just a  bitcoin. AFAIK, most of the hedge fund follows this strategy. I would highly recommend you to read ^{"The ModernPortfolio"}  by Grayscale that said " there is a compelling case for investors to allocate some portion of their portfolio to this new asset class". BTW, ^Grayscale is intended to add 13 new crypto assets to their portfolio  bringing their total t0 28.