Exactly what is happening in the crypto space, all these alts are like pure gamble that evolved every four years or say after the bitcoin halving has occurred and we are in the bull run, so some of the investors throw away few dollars on this shitcoins with the expectations that it will one day pump. I am not utterly saying they wouldn’t pump but it’s a 1/10 chance in all the coins you buy and that means when the remaining 9 options actually fail you lose almost Same amount you’re earning in the one portion that gets pumped.
Furthermore I am not against buying altcoins but never treat them as an asset or a diversification means to bitcoin investment. If you have invested into bitcoin and you’re looking to diversifying your portfolio simply look into other assets like precious metals, real estate or even agricultural commodities or stocks/bonds. Picking altcoins as diversification is simply leaving your money in one sector and picking a more risky asset. Altcoins can only pump when bitcoin pumps but they can die off without bitcoin falling so why invest in Altcoins when the better option is simply bitcoin
Furthermore I am not against buying altcoins but never treat them as an asset or a diversification means to bitcoin investment. If you have invested into bitcoin and you’re looking to diversifying your portfolio simply look into other assets like precious metals, real estate or even agricultural commodities or stocks/bonds. Picking altcoins as diversification is simply leaving your money in one sector and picking a more risky asset. Altcoins can only pump when bitcoin pumps but they can die off without bitcoin falling so why invest in Altcoins when the better option is simply bitcoin
When you have best option available in the form of Bitcoin then why taking risk of investing in alts? I have some data available (see the below post) that tells the benefit of investing in bitcoin for long term. That's why I am saying that when you have a stable option available in the form of Bitcoin then why taking risk? No alts has the capability to give such a good return since no such data is available for any alt. Don't think that what bitcoin is giving will be given by any other alts, they just have short life.
Below is comparison of investing Lump Sum and DCA. If we start investing 126$ per week from Jan 24, 2018 to Jan 24, 2025 then after 7 seven years we have invested 46120$ and we have 3.39 Bitcoins in hand with ROI of +681.64%
On the other hand, investing 46.12k USD on 01/24/2018 would have given us 4.09 Bitcoin today with ROI of +841.57%
https://dcacryptocalculator.com/bitcoin
On the other hand, investing 46.12k USD on 01/24/2018 would have given us 4.09 Bitcoin today with ROI of +841.57%
https://dcacryptocalculator.com/bitcoin
Bitcoin investment is a very good investment and has proven to be very trustworthy, if you check the history of Bitcoin growth you will know that Bitcoin has been so wonderful in it's growth and know Altcoin has that record in there growth, I know some set of people who rushed to invest in some Altcoin thinking they will have same potential growth like Bitcoin they ended up losing there money and where very disappointed, Bitcoin is very different from other coin and should not be compared or connected to them, Bitcoin investment has really proven to be the best coin in the world right now.
The reason why you see some set of people still investing in Altcoin is because they still believe a day will come when that Altcoin will start growing like Bitcoin so they keep accumulating and holding on to it, and also some set only trade Altcoin and I think if you are a very smart trader you can make money from it but it's actually very risky I know some set of traders who has made and lost huge amount of money in Altcoin trading, anyone who is accumulating and holding Altcoin for a long term should stop because it is very risky and you can wake up one morning and discover you have lost everything.