How to divide crypto portfolio currently

[JMASTERJ]

How do you guys currently divide up your crypto portfolio between:
- Long term top 10 like BTC, ETH, BNB, ADA, DOT, etc....
- 2nd tier like MATIC, DOGE, SOL, BCH, ETC
- 3rd tier and $hitcoins
- Staking/Pooling/Farming
- Liquid
- Anything else?

Thank you!

[1714322083]

1714322083

[1714322083]

1714322083

[1714322083]

1714322083

[mk4]

There's no such thing as a "right" or a "correct" portfolio. It really just depends on what risk:reward you're aiming for. Some people prefer to play it totally safe and just go with solely the S&P500 and real estate, whereas some have a taste for innovation and risk and go with bitcoin/crypto with some low-cap tech stocks.

As for my personal crypto portfolio, I'm 90% BTC and 10% short-mid term altcoin investments.

[zanezane]

@mk4 already said that it depends how you want to do it so I won't repeat on that part. I don't accumulate that much altcoins ever since but I am dabbling on Ethereum and I have my portfolio around 70% Bitcoin and 30% Ethereum and some sprinkle of NFT.

[BrewMaster]

one of the main purposes of a portfolio is to diversify into stand alone assets that could save you in case another asset went down. but when bitcoin goes down all the altcoins go down, in most cases they go down so much bigger than bitcoin. that means it makes no sense to buy them and then call it a "portfolio".

[bitmover]

one of the main purposes of a portfolio is to diversify into stand alone assets that could save you in case another asset went down. but when bitcoin goes down all the altcoins go down, in most cases they go down so much bigger than bitcoin. that means it makes no sense to buy them and then call it a "portfolio".

That's a good point.

Buying a lot of cryptocurrency doesn't mean you are diversifying, as you are still exposed to the same risks.

One Elon Musk tweet about PoW energy consumption is capable to crash the whole market, even PoS coins (which doesn't expend energy) are affected the same way

Look at CMC 7days charts. They are basically all the same:



So you are buying altcoins not to diversify risks... but to try to get more money than a full BTC portfolio.



Personally, I have more than 80% Bitcoin and 3 more altcoins, which I believe they have good fundamentals. They are all top15 and have somewhat established position in the cmc and large capitalization.

I think buying small cap coins is too risky, but it might be interesting. I recommend to anyone who asks for my opinion to buy at least 50% bitcoin in your cryptocurrency portfolio.

[kaggie]

Buying a lot of cryptocurrency doesn't mean you are diversifying, as you are still exposed to the same risks.

One Elon Musk tweet about PoW energy consumption is capable to crash the whole market, even PoS coins (which doesn't expend energy) are affected the same way

Look at CMC 7days charts. They are basically all the same:

Follow that guy's advice. Multiple cryptos is not diversifying risk loss, although it is attempting to diversify to risk gains. Smaller cryptos may jump up higher than bitcoin in the short term, but they will also fall much more quickly. They are incredibly risky. Maybe you will make a fortune, or lose it all. Be careful. Bitcoin is proven over years, and may yet continue to be proven. It will still outperform any other crypto currently out there over a long enough future period. They, not bitcoin, simply have too much competition and continue to eat themselves.

[tabas]

That's too much number for me. You should choose the best of the best and of course, will be part of it. While those excess coins, you have to sell them and accumulate more bitcoin. I wouldn't care if you've diversified that much but I think that altcoin season is about to be done you'll get more losses if you remain your portfolio with that.

[OgNasty]

I put my money into the cryptos that are going to go up and avoid the ones that are going to go down.  So far it's worked pretty good.

I hear a lot of talk that Bitcoin might be a long term winner.

I've also heard that shitcoins are not the best investment.

Seems simple enough to me.  Altcoins were in fact only created to get their owners more BTC and weren't taken seriously whatsoever until the development direction of the Bitcoin Core project overtook the promises of the whitepaper and forced the market to splinter into a trillion dollar altcoin market in order to be functional for the actual economy using these coins...  All problems get rectified eventually though.  I see the most common Bitcoin wallet changing to a new development team's creation before I see altcoins becoming a better investment than Bitcoin, but who knows...  Anything could happen and most people would rather create an altcoin than try to fight the toxicity of helping Bitcoin outside of the Core directives so we'll have to wait and see what the future brings. 

[ReiMomo]

Sorry but no time for altcoins, my entire savings were allocated all in bitcoin and 100% is on bitcoin investment.
If you can see in the market price, all altcoins were followed by the dominance of bitcoin and when it will dump also altcoins won't recover the same as bitcoin. So, the best way is to give focus on bitcoin, nothing else.

Diversification is also important in your portfolio but I don't see there's a good move to it.

[JMASTERJ]

Thanks to All For Replying and Giving the the valuable guideline