What is your diversification strategy?

[Wapfika]

Bitcoin affects my balance only indirectly. I'm not a very big expert. Therefore, I simply bought bitcoin for a certain amount and invested it. Now I just watch how the bitcoin exchange rate changes. In future plans, the profit from the cryptocurrency will be invested in even more interesting projects/startups/nft.

It’s better to invest only in Bitcoin for cryptocurrency investment and diversify your fiat on stock market to your local broker. I’ve been doing this since I start working and saving part of my salary on Bitcoin(some Eth) and most of my portfolio is diversified on local company here that I know that will grow more in the future such as fast food chain and telecommunications company.

Don’t invest much on altcoins and NFT if you are really looking for future investment because most of this hype tokens will surely be worthless in the future once new trend introduced.

[Iranus]

I will say any users who diversify their investment to altcoins are stupid because altcoins price are following Bitcoin price, so if you're diversify to altcoins you're not diversify anything. If anyone want to diversify their investment, make sure you're diversify to other sectors, not in cryptocurrencies again, you can choose stock, gold, silver, real estate and many more.

But to be honest I invest too much on Bitcoin and I don't regret about it, I think Bitcoin have a bright future and I'm ready to accept the risk.

I agree, I don't understand why so many people invest in different coins and they say they are dividing their eggs into multiple baskets, when they know well that the market depends on bitcoin. When bitcoin goes up everything starts going up, when bitcoin goes down everything will go down, even death if bitcoin plummets. If you don't invest in bitcoin and you only invest in altcoins, it is acceptable to hold multiple altcoins to reduce risk but once invested in bitcoin and want to diversify by investing in altcoins it is stupid.

I also believe in the future of bitcoin, but I balance my investment with bitcoin and gold because for me future is unpredictable, everything is risky so always have a plan B.

[nullama]

~snip~
I agree, I don't understand why so many people invest in different coins and they say they are dividing their eggs into multiple baskets, when they know well that the market depends on bitcoin. When bitcoin goes up everything starts going up, when bitcoin goes down everything will go down, even death if bitcoin plummets. If you don't invest in bitcoin and you only invest in altcoins, it is acceptable to hold multiple altcoins to reduce risk but once invested in bitcoin and want to diversify by investing in altcoins it is stupid.

I also believe in the future of bitcoin, but I balance my investment with bitcoin and gold because for me future is unpredictable, everything is risky so always have a plan B.

Yeah, I think when people talk about diversification they mean investing in index funds, gold, real estate, etc.

I don't think wasting money in alts is really diversification.

[Tony116]

Everyone's strategy is going to be different because of many many reasons.

But how does it fit into your portfolio? Are you taking profits and moving it to other sectors? Are you shaving some profits into metals? Bonds / TIPS?  Real estate?

IMHO BTC tracks stocks to close to call it diversified in my minds eye but do you have stocks? Maybe into a ROTH IRA or traditional (tax deduction).

How does BTC play into your balance or diversification?

What does your pie chart look like?

Currently, in addition to investing in bitcoin, I also use part of my salary to buy gold, for me bitcoin is an investment that can generate great profits in the future. While gold is my place of choice to store my value as gold is stable, gold is a store of value as well as a savings alternative to fiat, I don't want to hold too much fiat. These 2 investments are not related to my daily expenses so I will probably hold them for the long term. But personally, I love real estate and once bitcoin can generate significant profit for me, I will definitely sell some to diversify with real estate. Part of me wants to diversify my investments, part of me wants to spend it on my kids.

[ethereumhunter]

~snip~
I agree, I don't understand why so many people invest in different coins and they say they are dividing their eggs into multiple baskets, when they know well that the market depends on bitcoin. When bitcoin goes up everything starts going up, when bitcoin goes down everything will go down, even death if bitcoin plummets. If you don't invest in bitcoin and you only invest in altcoins, it is acceptable to hold multiple altcoins to reduce risk but once invested in bitcoin and want to diversify by investing in altcoins it is stupid.

I also believe in the future of bitcoin, but I balance my investment with bitcoin and gold because for me future is unpredictable, everything is risky so always have a plan B.

Yeah, I think when people talk about diversification they mean investing in index funds, gold, real estate, etc.

I don't think wasting money in alts is really diversification.

I guess it's because they are in the crypto world that they invest in many potential altcoins. It's not wrong as long as they can choose coins that can increase in the short, medium, and long term and analyze them before buying them. But unfortunately, most of them do not analyze before buying but only buy based on what they read and find on the internet.

Maybe investing in index funds, gold, real estate, etc., is still too expensive for them so they switch their funds to crypto because they can buy large amounts of coins and hold them until the price really increases high.

[fadhilz123]

Currently, in addition to investing in bitcoin, I also use part of my salary to buy gold, for me bitcoin is an investment that can generate great profits in the future. While gold is my place of choice to store my value as gold is stable, gold is a store of value as well as a savings alternative to fiat, I don't want to hold too much fiat. These 2 investments are not related to my daily expenses so I will probably hold them for the long term. But personally, I love real estate and once bitcoin can generate significant profit for me, I will definitely sell some to diversify with real estate. Part of me wants to diversify my investments, part of me wants to spend it on my kids.

That's pretty good and looks very wise the investment you have made so far. Even I personally also want that kind of investment at this time, it's just that I don't have Bitcoin and also have never stored it in the past, so at this time I only rely on gold and rice investments.

I am very happy to buy gold to store the assets that I already have and so are the rice fields sold by other people to me, because rice fields are like land which if the location can be very strategic with the road, then the price can be very expensive too in the future. And on the one hand, for now I also plan to buy a little Bitcoin according to the ability I have to save it as an investment, because here I see more people taking advantage of the declining price conditions to buy Bitcoin.

[dlightag]

Correctly i am using Technical strategy to follow the market, and it work perfectly, and for some time, it turn against trend, but, only require to control the emotion avoid lost during diversification or correction of the market movement.

[Natalim]

What just I did is that I discard coins that are not profitable anymore. I sacrifice myself losing a few bucks rather than waiting for many years for nothing but just a few cents. I usually check my portfolio quarterly and when I notice that there is an improvement, I started to look for coins that are not growing and replace them. That was not a hard task though...

Well, it was a good idea to check our investment very often so we are aware of what direction our portfolio is going and we can make some adjustments earlier rather than holding coins that are not contributing something.

[nara1892]

What just I did is that I discard coins that are not profitable anymore. I sacrifice myself losing a few bucks rather than waiting for many years for nothing but just a few cents. I usually check my portfolio quarterly and when I notice that there is an improvement, I started to look for coins that are not growing and replace them. That was not a hard task though...

Well, it was a good idea to check our investment very often so we are aware of what direction our portfolio is going and we can make some adjustments earlier rather than holding coins that are not contributing something.

Shouldn't before investing do your research first about which coins are worth investing in and will give you a profit? If I judge from what you say, I see you are not too serious in doing the analysis before putting your money in it. Because, from what you said you threw away some useless coins, that's the statement that is the question in my mind. Or maybe you are investing in a new project?

[carlfebz2]

How does BTC play into your balance or diversification?

What does your pie chart look like?

Depends on you but we know that diversification thing would always be the best considering that we are scattering out our money on different assets which we could possess as much as we could.
Im aint saying that BTC holding or crypto would really be utterly shit on going all in but it depends on a certain person on where they could build their confidence in.

Diversify as much as you could, so that in case one of your investment had gone down then you could always have the chance to make out some recovery unlike
if you do focus on a single point which it would really be hard for some recovery if ever the market turns out to be shit.

[Hypnosis00]

I will say any users who diversify their investment to altcoins are stupid because altcoins price are following Bitcoin price, so if you're diversify to altcoins you're not diversify anything. If anyone want to diversify their investment, make sure you're diversify to other sectors, not in cryptocurrencies again, you can choose stock, gold, silver, real estate and many more.

But to be honest I invest too much on Bitcoin and I don't regret about it, I think Bitcoin have a bright future and I'm ready to accept the risk.

Yet, it was not also a good idea to put everything or all your money into a single investment like Bitcoin. We know the risk in crypto and like spreading it in the local stock market, investing some in real estate is way better and more advisable. However, it really matters to us how we manage our portfolio as well, some diversification is obviously needed if we are not happy with our investment.

60% share for Bitcoin while 40% is for altcoins or the stock market.

[AmoreJaz]

I will say any users who diversify their investment to altcoins are stupid because altcoins price are following Bitcoin price, so if you're diversify to altcoins you're not diversify anything. If anyone want to diversify their investment, make sure you're diversify to other sectors, not in cryptocurrencies again, you can choose stock, gold, silver, real estate and many more.

But to be honest I invest too much on Bitcoin and I don't regret about it, I think Bitcoin have a bright future and I'm ready to accept the risk.

Yet, it was not also a good idea to put everything or all your money into a single investment like Bitcoin. We know the risk in crypto and like spreading it in the local stock market, investing some in real estate is way better and more advisable. However, it really matters to us how we manage our portfolio as well, some diversification is obviously needed if we are not happy with our investment.

60% share for Bitcoin while 40% is for altcoins or the stock market.

investing in some alts in my opinion, is really not that stupid. let's say, eth, it has very solid foundation which for me is worth holding. however, i do agree that as much as possible, you need to diversify your portfolio outside crypto. real-estate, jewelry, gold, and other tangible assets are great addition to your financial portfolio. because if one fails, you have other assets as your back-up.

[uneng]

I invest only in crypto and mostly in btc. i'm not cashing out profit to invest in another assets and sectors, because bitcoin looks the most promising investment these days. Moreover, I don't feel like I have enough income to migrate to something else with enough funds to have a decent income from that. The only thing I do is to cashout bitcoin sometimes to invest in something I can work with, but that is not passive investment, it's an investment I need to work, produce and sell the final product for profit, what becomes really hard because there aren't many customers around, but I keep trying...

[Pumared]

Are you also figuring out which could be the best investment to have while there is a recession?

I have no diversification but all in crypto from BTC to some altcoins kept. Not Ideal probably. I quit the stock market, it would have been profitable if I have invested in oil and crude companies. Would it be too late to invest in it?

I believe that the best way to optimize earnings is to diversify. Even if there are losses, they will be mitigated.

For example, 25% in Business (stocks of companies focused on business), 25% in Real Estate, 25% in cash and 25% in international assets (companies from other countries).

I believe that this strategy is very good, and looking at the past, the profitability is also very good!

[danadc]

Are you also figuring out which could be the best investment to have while there is a recession?

I have no diversification but all in crypto from BTC to some altcoins kept. Not Ideal probably. I quit the stock market, it would have been profitable if I have invested in oil and crude companies. Would it be too late to invest in it?

I believe that the best way to optimize earnings is to diversify. Even if there are losses, they will be mitigated.

For example, 25% in Business (stocks of companies focused on business), 25% in Real Estate, 25% in cash and 25% in international assets (companies from other countries).

I believe that this strategy is very good, and looking at the past, the profitability is also very good!

A very good strategy, but I think that I would split much more, I would leave 50% in bitcoin, and I don't care if the price goes up or down, I would just leave it there and withdraw it only when I see that bitcoin is going to increase 5 times the price if I would think about withdrawing, because bitcoin has a cyclical but exponential behavior, it is true that there is a very good period for the purchase that is when the price drops a lot, and the optimal one for sale, that is when they have to take advantage, it is like the opportunities, but I say that it is exponential because each historical maximum is much higher than the previous one, perhaps it is a more complex mathematical formula, but that is the behavior.

[Piesel]

I can't take the stress of real estate investment so I do all crypto and Bitcoin dominate a large percentage of my holding as other altcoins does not make sense to me anymore, I rather put large part of my investment in Bitcoin and have some peach of mind knowing fully well that it going to take time for my profits to come up, it may delay but am certain that in 2 to 3 years from now Bitcoin is going to make a tremendous increase that will profits investors who have hold Bitcoin for long term.

So for me 100% Bitcoin if possible!