Crypto Academy Week 6 - Homework Post for @stream4u

Hello every one welcome to another homework task post for @stream4u one crypto professor, this is week 6 now which is one month and 2 weeks and i have learnt a lot by participating in this tasks and i hope you have too.

This week our professor @stream4u wrote about every thing that has to do with how to invest in cryptocurrency which is good so if you want to read our professor article click this link any way let's dive into this week task.

The questions he outlined in the homework are as follows.

1). Differences in Large Capital - Mid Capital - Small Capital and how they will affect to the Investment?

I will be differentiating them but firstly starting with large capital.

Large Capital
Large capital assets are those cryptocurrency in the top 10 in the cryptocurrency market cap and this assets have $10 billion and above in their own market cap.

The risk in Investing in large quantity is less and this investment are long term hold but you may not see large returns in your investment.

Mid Capital
This assets are in the number 10-50 list of market cap, with market cap ranging from $1 billion - $10 billion.

The risk in investing in this category of cryptocurrency is high a little bit and Some of this cryptocurrency come and go after few years. It is also possible in mid caps that after your investment, when you will start seeing good profit is after some period like 6 months or 1 year, but only in a 1 day you can lose everything when it dumps.

Small Capital

This are Tokens that are not in the top 50 list of Coin market cap and their market cap are below $1billion some are below $500 million and another thing is some projects under this category last only a short period of time because they are gone because founder him/her self dump them to Nothing.

Investing in cryptocurrency that are in this category are very risky which means they can dump the cryptocurrency even if it do not pump and if the Cryptocurrency goes parabolic, but for that, the holding period becomes longer.

2). The Asset Capital that I think will be more profitable.

The Asset capital I think will be more profitable is the asset in the mid capital because many of this coin are undervalued.

Advantages of investing in mid capital assets
The advantage is that you get a better return on your investment.

Disadvantages of investing in mid capital assests.
It can easily get dumped and you can loose a lot of money.

3).Thoughts on Risk Capital and Penny Cryptocurrency.

What I think about risk capital is it is smart to invest in penny cryptocurrency because penny cryptocurrency are too little meaning you can easily invest in penny cryptocurrency with risk capital because risk capital are capital that when invested it can easily be forgotten.

4). What is the Role of Watchlist? Best way to set Watchlist. For Example, show your watchlist if you have configured it and give a short description of it.

The role of the watchlist is to favourite the tokens that we have invested in so that we can be fast in trading.

My Watchlist have 3 assets from Large Capital, then 1 assets from Mid Capital, then 1 assets from Penny Cryptocurrency.