When Bitcoin moves 95% alts dumped. BTC moves up or down, Alts goes down. where we invest and no one can predict the market movement.
So what would be the right strategy of Diversifying Crypto Portfolio...
Altcoins are NOT the right option to go investing with for the reason of diversification. Because, altcoins may induce your risks against rewards as 99% of altcoins do not survive over the time. So, never try to diversify your portfolio within crypto space.
You should go for diversifying your portfolio with all types of investment opportunities which includes skills and personal-development. If you develop any innovative skills then you can easily earn and save which must be a greatest investment for entire life. If your skills working for continuous income stream then probably you may never need to worry on ROI as you can wait for any good returns.
Because as Bitcoin drops, altcoins will follow, and selling Bitcoin just for the sake of investing altcoins have no sense at all, we just lose than making a profit. We'd rather invest more than diversify our portfolio that unless if we sell altcoins for long-term Bitcoin investment, that gonna be a good decision.
If I have $10,000 as capital, I sorted it out to different potential coins but then I take a huge share of Bitcoin 60/40 sharing. We have to invest those coins that have the ROI potentials so there is no need to diversify our portfolio but rather to keep adding more to it.