How Many Different Cryptocurrencies Should You Invest In?
Is there an ideal number of cryptocurrencies that you should own?
Should you pick a handful of well-researched projects, or try the scattergun approach and invest small amounts into many different coins?
Mathematically, diversification has diminishing returns after 10-12 different investments. (not investment advice, just math!)
Agreed. Just slightly difficult to choose those 10-12 and the proportions to invest in those. There is so much noise to work through. BTC, ETH, LTC and DASH is some of the obvious ones but the rest is difficult to choose. ZenCash is the one project I follow every bit of news in.
I agree with your hybrid approach. In the end you can diversify so much that your portfolio almost stands till.
Very well said. You're going to be a legend in your hometown once more than your one or two friends realize what you've gotten into light years ahead of them. (I remember one of your comments in a previous video recently).
Index of the top 10, and then a few % in 3 or 4 smaller coins you like. This is what I've done and results in 80% of portfolio in BTC & ETH. Tough to pick winners right now! Is also stress free!
I have this: https://imgur.com/a/wItLW
I bought most in ETH because i wanted to make sure i can stake it when it comes to that. and now I plan to invest 90% of the money I can dispose into BTC, waiting for the dips. I also want to buy back 1 Monero. And BitConnect I will be careful, expecting it to crush at any moment.
I have 22 assets at the moment and I believe in long-term potencial of 4-5.
Im planning to move more and more on my investments into these 4-5.
FYI: BTC, LTC, ETH, XMR, DASH aka old dogs.
I see some great potencial in: NEO, IOTA, OMG
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