It is actually very risky to invest in a single asset.
Not with Bitcoin. It is risky but if you check all of the history of Bitcoin, this very single asset is what many are willing to bet if it's just a single asset that they'll hold for a long period of time.
The part that scares me the most is that my friend has put all his resources into this one asset. If am wrong please correct me. Thanks
It's okay, that's his asset and that's his resources put into Bitcoin. But that's how a bitcoiner realizes that this is here to stay and that's why putting all that he's got sounds scary but he knows what he's doing.
You're not wrong and he's not as well. It's okay to stick to single asset if it's Bitcoin but it only becomes wrong if you're sacrificing your welfare, finances in doing all of this.