Diversifying your funds into financial markets other than crypto is of course highly recommended, if it is in accordance with finance. But in this crypto room the majority of people invest their funds in bitcoin and altcoins.
I personally currently still allocate my funds in altcoins and wait for ROI, so that I can allocate my funds to real state.
And it is easy to understand why this is the case, almost all the markets are overvalued and it is not worth to invest in them, however even with the high price of bitcoin I still think it can go much higher so this is an easy decisions to make, we need to remember that diversification is a tactic to protect your capital but if you want to earn money then concentration is the name of the game, which is what the majority of the people in this market are doing.