Quote from: Zaguru12 on September 21, 2023, 06:22:12 PM

Quote from: snowpega on September 21, 2023, 02:39:36 PM

Diversify Your Portfolio:
Diversification is a risk management strategy which can help you to reduce the impact of volatility on your investments. Don't put all your funds into a single cryptocurrency; instead of that you should spread your investments across multiple assets like different Alt-coins but do it after deep research so that you can diversify your portfolio very well. In this way, you can reduce the risk associated with any single alt-coin's price fluctuations and increase your portfolio.

This is one advice I am yet to actually get used to, portfolio diversification in cryptocurrency is something I find funny, because If one is investing into bitcoin as a sole investment then it should be bitcoin In totality and nothing like diversification to other cryptocurrencies. It is because once bitcoin faces any challenges like falling then I don’t see any cryptocurrency surviving either. Once you have some assets into bitcoin mostly an amount you can lose then it is best to diversify into other assets outside the crypto world such that even if the market of cryptocurrency becomes unstable you can have other assets to fall back to and this way you would have beaten FOMO too.

The only place you would think of diversification is when you have some set amount that for only Alticoins then I wound also say you shouldn’t put them into one but rather into the top Alticoins. But be rest assured that even if you diversify in Alticoins it doesn’t save you from losing because they didn’t have guaranteed returns and are seeing as just pump and dump coins. So for long term holding prioritize only bitcoin as cryptocurrency asset

If we only talk about cryptocurrency investment, then I would never agree to diversify your coins aside from bitcoin. Know that bitcoin is the only trusted and secured crypto investment so far so if you dare to invest even in top altcoins, expect that there will be inevitable losses that’s bound to happen. That means your profits from bitcoin might only be used up investing with altcoins. That’s the reason why I only apply diversification when it comes to physical investments like real estate or gold. With crypto, I’ll only chose the one and only bitcoin.