Get rid of your Altcoin bags

[coin-investor]

I've been doing this since I created my first portfolio because if you do not follow the development of the coins you've invested in, you will lose your investment.

Once you included the coin in your portfolio, you have to check the roadmap, and if they have social accounts, you need to follow them to see if they are on target with the roadmap and development.

It's also very important not to have a personal attachment to coins that are in your portfolio. I used to do that with the PVE coins I invested in. I thought things were still looking good, but when I saw a huge 50% dip in the price, it was too late to dump it, resulting in a 90% loss.

[BlockchainWizard]

Yeah, I agree that this doesn't really sound like a bad plan at all. I don't have much, I have dust that I can't get out because it costs more to get them out than what they are worth, but I am going to check m ywallets and see if anything is left in anywhere. I had a little bit of ARB left, and I think I am not trusting that too much these days, so I am going to just take that one out and put it on ETH for now. Wasn't a big amount, it was like maybe 50 bucks or so, don't know what happened to it, I do hope it went up, but I do believe that its time to sell and get to something more trustworthy for me. In the end why would we keep bags that we do not have any trust in, makes no sense to do that.

Sounds sensible.
Especially if it's only small amounts, it's not worth leaving them in coins that you no longer believe in. That only ties up capital - regardless of whether it's "only" $50 - and you end up getting annoyed if the value continues to fall.

ETH is definitely the more solid choice, especially if you just want to park it until a better opportunity arises. And yes, sometimes it's better to make the cut and continue with a clean wallet instead of dragging legacy assets with you.

It's basically like a wardrobe: if you haven't used it for ages and it's just taking up space, it's better to get rid of it and make room for something new.

[adultcrypto]

I will not completely subscribe to the idea of getting rid of all altcoins because there are few that are worth holding like SOL, ETH and a few others. Their profit potential is high, maybe even higher than bitcoin but that does not mean one should go all in on them. What I will always recommend is anywhere close to 80% bitcoin and 20% altcoin so that one will minimize risk and maximize profits. This is how I plan to proceed, others might have better formular for allocation.

[jaberwock]

I will not completely subscribe to the idea of getting rid of all altcoins because there are few that are worth holding like SOL, ETH and a few others. Their profit potential is high, maybe even higher than bitcoin but that does not mean one should go all in on them. What I will always recommend is anywhere close to 80% bitcoin and 20% altcoin so that one will minimize risk and maximize profits. This is how I plan to proceed, others might have better formular for allocation.

You think alts has more potential than in BTC, therefore you need to allocate more on them than in BTC. I think that was true and at the same time false. True because alts value are still smaller than in BTC, so they may still not struggle on reaching more heights but false because there are talks that BTC can still reach a very high price like 1 million dollars or more in the future.

For maximizing profits, all-in works better here, while if we want to still profit but at the same time managing the risk, then this is where diversification can take place. Allocation can depend on the capital. If we have more, then we can adjust and make BTC 70 percent instead or lower.

[markm]

If you want to buy dips and take some profit on upward movements you need something you will be buying with.

Just yesterday or so at https://www.bitmart.com/trade/en-US?layout=pro&theme=dark&symbol=DMD_BTC a good example happened of why it is very important to have your buy offers already in place before a dip or dump happens; I stupidly had not had my buy offers column more than just barely started building downward before that dump happened, as I had only just brought some DMD back onto the exchange and not much of it had sold yet so I had not yet gotten much proceeds of sells with which to build my buy-side.

I went to watch a couple or few episodes of a TV show and came back to keyboard to find that not only had a deep deep dump/dip happened but already the price had recovered massively from the bottom that had been hit.

Thus my failure to have already had buy offers in place all the way down at least as deep as that dip/dump penetrated caused me to miss out on the extreme-bargains pricerange of that dip or dump.

So if you are hoping or planning to buy dips, be aware that the most-delicious ones can easily be mostly over before you even become aware they have happened, thus that it is important to be in place with your buy offers ahead of time so it is your offers the dumpers or dippers are dipping or dumping onto.

Similar applies the other way up to skyrockets. Typically with a real skyrocket the price almopst instantly jumps back down half the range it jumped, so again you miss the best part of it if you don't have sell offers already up there waiting for it.

Hence the strategy of building columns of offers "all the way" down and up from the "spread".

This has historically made such a massive difference that the much-mentioned dangers of leaving stuff on exchanges turned out to be just a cost of doing business, a dent in profits, rather than any kind of serious loss, at least once one has managed to diversify off of one's first exchange and especially once one is on a few, and over the more than a decade gone by it has even seemed like the percent of exchanges, or at least the percent of those one might actually consider giving a try, that turn out to be created from the outset with a plan of using "oops we got hacked" as an exit-plan even seems to have gone down somewhat.

(Or is that impression merely from me maybe being a bit more conservative when considering exchanges? Hmm.)

All this means that ultimately it seems better to be buying with an altcoin than with fiat, since over the more than a decade already of doing this fiat has surely gone down in value, so had I been trading against fiat rather than against altcoins I am pretty darn sure I would have had a whole bunch of built-in loss simply from choosing such a shitcoin; fiat is for sure long term a shitcoin, in theory some other alts might not be, or certainly not as shitty as fiat.

Also, if one is actually successful, surely in the long run it ought to be expected that one would be earning, and buying fiat with, crypto rather than earning, and buying crypto with, fiat?

Unless you somehow expect your fiat earnings to keep up with or exceed your crypto earnings long term???


-MarkM-

[BlockchainWizard]

I will not completely subscribe to the idea of getting rid of all altcoins because there are few that are worth holding like SOL, ETH and a few others. Their profit potential is high, maybe even higher than bitcoin but that does not mean one should go all in on them. What I will always recommend is anywhere close to 80% bitcoin and 20% altcoin so that one will minimize risk and maximize profits. This is how I plan to proceed, others might have better formular for allocation.

Sounds like a solid allocation.
BTC as the main anchor simply provides the most security in the crypto space, and with a small altcoin share you can still take the chances of higher profits. SOL and ETH are definitely among the stronger candidates - they not only have hype, but also real usage and developer activity.

In the end, it all comes down to your own risk appetite anyway. Some prefer to play it safe, others want to gamble more. The important thing is not to invest everything in projects you're not convinced about.

80/20 sounds like a good balance between "sleeping soundly" and "still getting a slice of the cake".