Do we need to diversify?

[codeash]

Managing and reducing risk is important in crypto space and diversifying portfolio will significantly help in reducing risk.  I am holding some different altcoins but all of them are popular. I believe that one should never put all eggs in one basket.I am holding Ethereum, Litecoin, Ripple, ADA. I invested in Ethereum because of popularity of smart contracts and decentralized applications. Many Erc20 tokens are created and some of them can be useful. This gives more popularity and success to ethereum. I invested in Ripple when it was regularly making news for tremendous rise in price. But now most of my investment in Ripple is down. I invested in Litecoin very earlier. But since my investments are diversified, my loss was less and profit from one crypto allowed me to handle loss from other crypto. So diversification is very important.

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[cryptodevs]

Yes,because it isnt a good idea to put your money into one coin because if that coin has failed you will lose a lot of money or worst all of your investments will be dumped,that you cannot recover from when it happens! That is why we need to have good portfolio management so that these crashes wont have any big effect to our investments.

[dogtana]

Because bitcoin is being tamed and they can't do it to every coin.

https://medium.com/@super.crypto1/4th-dimension-bitcoin-manipulation-cartel-can-it-be-burnt-no-way-c53de65c166a

[habaratbu]

Yes we all need it because the market's volatility could rekt us all that is why we need to have a solid portfolio management so that these crashes wont affect our altcoins too much because im sure if you do have good altcoins,these coins will recover from these crashes and we shouldnt be allowing these market manipulations to dictate us we should adopt how these people think and move.

[mangkanor]

Of course we all need to diversify our investments,because if you dont you will be putting your money into higher risk,not a good idea to put all your moneyr into one coin because if that coin will fail you dont have any options or anything to do but to wait,bagholding needs a lot of patience or else  you will end up selling at loss.

[mariomerula]

Make diversification is really a good thing..because in this way you can really reduce risk of loss due to a fall of a single coin.....

[bhobafett]

Diversifying? What for? Is it still important as all of the coins prices are falling down together with Bitcoin? Supposedly, altcoins' prices should not be on the same track as BTC but with the traders knowledge, their basis for their altcoins future is with BTC. Altcoins should have their own track.

[avia]

You can actually invest in just one coin if you wish since that is your investment. However, diversifying your portfolio is actually recommended so that you can increase your chance of gaining more profit and decreasing your risk of losing some of your investment.

[Seguraliezl00]

Yea.  Of course we need to diversify  in order to decrease  and limit risk due to falling of coin and investment, diversify  can help us not to affect much while investing our money given it crashes still  it reduced  the  impact on us.

[Psalms23]

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

This is just depending on what you are ready for. If you want a lower risk of loss, then to diversify is a great way to invest. But take note that your coins may not all get a higher value at the end, so the profit will not be as big as focusing on less coins. If you invest all-in in one coins (provided its a promising coin) and it hits high you'll rich instantly. But make sure to invest in stable coins if you do that.

[moneyangel]

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

As what the older folks says...don't put all your eggs in one basket as if this will fall all your eggs will be damaged. Same as that is the diversification of your investments to reduce the risks as we don't know which of them will hit first.

[ethergod]

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

Diversification minimizes risk. There is plenty of fraud in the cryptocurrency space, and sometimes it's not detected until it's too late. Look at what happened to Bitconnect. There is also never a guarantee of a profit. So while not diversifying may increase profits, it also substantially increases the risk of a total wipeout.

[Cryptosaphire18]

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

Diversification minimizes risk. There is plenty of fraud in the cryptocurrency space, and sometimes it's not detected until it's too late. Look at what happened to Bitconnect. There is also never a guarantee of a profit. So while not diversifying may increase profits, it also substantially increases the risk of a total wipeout.

Definitely yes we should. If posible for you to diversify then you must do it. In order for you to minimize the risk when you invest and to minimize also your lose of profit. Because investing not guarantee a 100% profit in return. So it is important to diversify.

[beej]

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

Yes, I think it's a very good strategy since the market in itself isn't locked in with one currency and we often
have different price growths and behavior with old and new currencies. Progress is diverse in itself, if one aims
to fully grasps and widen his profit capacity and possibility, investing in multiple currencies is an ideal move
to amplify profits. It may not go well at first, specially with all the prices decreasing lately this year, but a
little patience and study I believe things might go so well on the long run. If you look at it this way, If 1 or
2 out of 5 investments in the markets fails at least theirs 3 more to lift the weight up and maybe cover your
loses in due time. If all goes up, then you're gonna have to think on the next thing you want to do.

[MalouWang]

If you dont want to get fucked up very hard by the market volatility you should be spreading your investments into several coins,but most importantly do not forget to respect bitcoin's dominance to the market,you need to have a bigger percentage of bitcoin in your porftolio compare to the altcoins proportionally because the market has high volatility!

[OneCoinMan]

The answer to your question is NO, we dont need to diversify and you could be lucky and make a huge profit from just one coin and a huge loss also. So if you look at the risk of loosing all, then your only option is to diversify, spread your risks.

Lol, "lucky." Do you do all of your work like this? To rely on luck = to lose at the very beginning. In the market, luck is nonsense, you operate with money, not candy wrappers.

[BigBoy89]

Why do we need to diversify our holdings? why we just all in in one coin to have a one time bigtime profit.

You don't need to diversify.
This is strategy used to limit the loses when some of the coins goes south and loses its value.
IMO diversification is very important for successful investments.

[bohboh]

You have your choice to make, but for an experience investors, it' is highly demanded of you to diversify because it's minimize loss.
But if you're very pretty sure of the type of project you're putting your money, you can put all without diversification.
But I'll always advice that 'it's best to diversify'

[markers]

If there isn't strong view that some coin inevitably shows upward trend or rapid jump then diversification is good approach. Always remember that one time diversification you can save your money. From the other side, the above doesn't exclude the approach when you bet on one coin and hold significant portion of your portfolio in that coin long-term. Let me know in case you have the opposite opinion. Thank you!

[Bosonnary]

If you keep all the money in one altcoin, it may someday cost 0 and you lose all your money.