HOW TO SET UP YOUR CRYPTO-HOLDINGS FOR THE MOST GAINS

in #cryptocurrency6 years ago

Cryptos are still a bit flat. Although the news is a bit more optimistic, we don't expect much activity this week until the market bounces off of it's lows.

Many of you have asked about allocation of your crypto-holdings. Though we have talked about this before, today we just want to give a few ideas to consider...

1.) Buy only the top market cap cryptos and hold. We know some that just hold BTC, ETH, and nothing more. Others only hold the top 5 by market cap. For us, we have some of these that we got in quite early on and do plan to simply hold for the 2-5 year range, but we don't put 100% of our holdings in these. One reason is because other cryptos may have more potential room to grow than the big ones that already have huge market caps. However, if you do this method, you don't have to check prices much and can pretty much snooze through these ups and downs.

2.) Put your holdings into the top 20-30 cryptos by market cap. We see a lot of people doing this. However, it's not good to do it by picking top cryptos just based on popularity. It is good to have cryptos and projects that have real concepts, products, services, and ideas that can be executed on in the marketplace. We have seen scammy ones like BitConnect, with a bug market cap...crash. We do think only 20-30 may survive, but that doesn't mean it will simply be the current top cryptos. Other new ones may come along. Also, it is better to limit the number you're in because there are probably not 30 good enough cryptos out there right now.

3.) Watch CoinMarketCap for the coins with the most recent big percent gains. We don't do this and would suggest not doing it. Simply looking at growth over a day or week means almost nothing.

4.) Focus on high risk high reward small coins, ICO's, etc. We do allot a portion of our crypto holdings to new projects with a lot of room to grow. In fact some of our best gains have been from this, but also, the risk is much higher. So, it is a smaller amount in the 10-20% range.

5.) Trade in and out and don't give much attention to the type of coin. We do like to trade in and out of some coins, but only to generate funds for putting in longer term holds.

Summary: We have things split into 4 "pools." We like to have some cryptos that will just sit there like investing in a startup and that money is effectively "gone." It maybe will go close to $0 and die or pay off well in 2-5 years and we won't take it out for any reason unless there are substantial gains. Keep in mind we think the likelihood of them dying is very low.

These are the "Big 3," BTC, ETH, and LTC. Then, we have some in smaller cryptos, most of which we have shared in our newsletter here. Ones that have really good potential and fundamentals, we will hold, but trade in and out of portions of the holdings. For example, if one "moons" we may take profit on 30-50% and then reinvest on a dip. Then, we have higher risk new projects, ICO's, etc, that we do not put big amounts into that can pay off big returns. And lastly, we trade in and out of coins (generally using Kraken) to try to grow funds to put into these other 3 "pools." We can't say how you should split them up, but ours are broken up close to evenly around 20-30% of total funds per pool.

We hope this helps you see how you can play with these to profit in the crypto market. For example, right now the market is slow, but perhaps you can take some from pool 2 and put it in a trading pool to trade bounces, and so forth.altcoins.original.jpg

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These are good tips, thanks. :) What are your thoughts on EOS? I keep wanting to buy in but they keep dipping lol

EOS is an awesome project @crystalhuman but there is alot of FUD around it but remember one thing for sure all the cryptos that are in top 10 will last alot longrr then others and once market start moving up these top ten will keep rising so my advise is go for it but remember i am not a financial advisor so do your own research also please.

That's probably about what my answer would have been to the same question lol Thanks @ychaudrys :D

Anytime man i follow u please follow me back if u like to

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I'm a bot. I detect haiku.

I know you're doing your best @haikubot but that's pretty weak.

Strange, I thought I was following you already. Followed. :D

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@ychaudrys, I'm waiting for the continuation of the topic

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