Quote from: AVE5 on February 26, 2025, 01:22:18 PM

Nah. Diversification of investment is to alternate your source of income income you don't have to put all your eggs in just one basket. Why? Because there may be leakage where the values of your assets in that one source would either depreciate in values or total lost of value to zero.
Be aware that this crypto market is a highily volatile market which diversifying of your crypto assets would give you confidence to increase your incomes from different basis when the evaluation of the market goes towards your favour.
So this isn't just about for those who don't know what they're doing or if they don't trust where they invested.
You just need to be aware that no amount of huge income is ever enough for living because we all wish to live or afford expensive things that's best to our tastes, so getting to that heel will require an additional hustling so you can always reach your goals.
You as an investor is not only advised to Invest on crypto currencies but on the other side of the economy so you can always give your assets on the volatile market some breaks until it could bring you income. That's why investors are expected to have investment target and be disciplined with their holding.
Bitcoin is highily recommended due to it reputation and holds an hedge towards inflation While diversifying to other cryptocurrencies is required to make thorough research so as to find potential coins that'd be worth investing on.

This doesn't work when it comes to cryptocurrencies. People often read about diversification and apply this to cryptocurrencies but they're buying the same exact thing. Selling your bitcoin to diversify into ETH and XRP is like selling a hard asset like gold, valuable art, or your house to buy a penny stock. It's not diversifying, it's gambling!
All cryptocurrencies depend on bitcoin so if you hold bitcoin and something else expect that something to drop more when bitcoin goes down.