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 Types Of Crypto Assets Capital, Risk Capital In Penny Cryptocurrency, Importance Of Watchlist. which is good so if you want to read our professor article click this link any way let's dive into this week task.

In the home work task the professor outline the questions that need answers and the questions are.
1). Differences in Large Capital - Mid Capital - Small Capital and how they will affect to the Investment?

2). Your view, Which type of Asset capital can be more profitable? Why? Advantages and Disadvantages. (Explain only 1)

3). Thoughts on Risk Capital and Penny Cryptocurrency.

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

So i am going to start explaining from number one so that this article can be understandable any way let's begin.

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

Firstly we begin to differentiate the so that it can be easily understood.

Small Capital: This are cryptocurrency that are not in the top 50 list of cryptocurrency and their market cap are below $1billion and another thing is some projects under this category last only a short period of time because they are gone due to investor or founder itself dump them to zero.

Investing in cryptocurrency that fall in this category the risk are very high which means after the Cryptocurrency goes parabolic, but for that, the holding period becomes longer.

Mid- Capital: This cryptocurrencies under the number 10-50 list of market cap, with market cap ranging from $1 billion - $10 billion . They are risky but not as risky as small capital tokens.

Some mid caps cryptocurrency come and gone after few years. It is also possible in mid caps that after your investment, you may see a good profit after some period like 6 months or 1 year, but only in a 1 day you can lose everything when it dumps.

Large Capital

This are cryptocurrency that fall under the top ten assets and they have more than $10 billion dollars market cap.

Investing in large quantity is less risky and this investment are long term hold but you may not see large returns in your investment unless you are rich then you can buy a bag of this assets.

II). The Asset that I think will be more profitable.

The I Asset I think will be more profitable is Cardano (Ada) which I think many of you may know because it falls in the large capital category which means it's in the top ten in the market list, Cardano is a third generation cryptocurrency that runs smart contracts right now the price of ADA is still around $1.

Advantages of investing in ADA.
+it can replace ethereum.
+transaction cost low fees.

Disadvantages of investing in ADA
+it is only in a limited crypto exchanges.
+it is not parabolic type of coin.

III). Thoughts on Risk Capital and Penny Cryptocurrency.

My thoughts on Risk Capital and Penny Cryptocurrency is that they are a good together because risk capital are capitals that when you use it to invest you can easily forget about it while penny cryptocurrency are crypto that are under valued which means they are mostly under $1.

IV). 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 monitor the tokens that we have invested in so that we can be swift in making our decision.

My Watchlist.

My Watchlist have 3 assets from Large Capital, then 2 assets from Mid Capital, then 2 assets from Penny Cryptocurrency.

Conclusion
Always make a watch list short and with the best assets because we humans are not robots meaning when you have too much assets you are watching you will get confused anyway I want to thank @steemitblog and @stream4u because through this process of doing this homework it has pushed me into doing researches.

Best regards

Cc: @steemcurator01
Cc: @steemcurator02