Diversifying your portfolio to reduce the effects of crypto volatility

[Valentine.H 41]

Well Instead if diversity it would add an element that no one would like trust me because not everyone is open to these things , companies involving the IT sector and the software sector is often impressed by these things , but other sectors don't appreciate it much, therefore you should understand that adding this to your resume could spark both negative and positive things .
Hopefully the company appreciates this

[CryptoMaxim 3829]

On 21.01.2020 at 19:51, Jay8 said:

yes. they say do not invest more than you are willing to loose.investment advisers are available even online. try getting their advice and see if you can match it with your knowledge before investing

There aren't many coins that I buy. I have a lot of tokens that I collected from drops for 3 years. And on halving, I bet on them.

[Honny143 13612]

I have no idea about to diversify the portfolio, because I always invest coin, to see the market prices because it's help to find good profitable coins, because when we search this coins prices its gives some idea which coin present pump up and gives profit in short period.

[Brushless4500KV 4214]

On 1/21/2020 at 6:43 PM, Karani said:

It’s rare for different crypto assets to drop in price together. The more the asset classes you invest in, the higher the possibility of deriving excellent returns from one of them.

This is exactly what I do in my trades to prevent losses. Most coins will go up and down with BTC but there are always a few coins which move in opposite direction compared with bitcoin. When the majority of coins are going down, you can transfer some (or all) of your capital to these coins to start moving upward and keep the value of your main investment. This method is called coin switching but you should be careful to choose the right coins. Otherwise your losses may get bigger.

[Treat1234 0]

If you don't need a coin to destroy your capital, then you need to diversify your portfolio, this will give us more opportunities to have different volatility of coins and you might have different gains from it

[Thekingcallme 1975]

Well this is a good idea but if the bitcoin price drops dramatically then all currencies will bleed and drop significantly as well and be affected

[BrolySSJ 7899]

This is very important and serves the same concept as not putting all your eggs in one basket. It is good to diversify your investment and to have a number of big crypto so that your loss in one crypto can be made up with the profit in another coin, thereby reducing the loss that you may incur. In this way you are also giving yourself a better opportunity to make a better profit if more than one of your investments increase simultaneously.

[Rezort 846]

This rule is true about any assets in your financial life because once you put all your money in one bag you are in a dangerous trap of losing all money you have.

[Nezar 7169]

If we want to achieve profits from investment or trading operations, we must always choose a currency with great popularity and a high price because choosing a new currency or symbol will endanger and fear of theft or failure of the currency project

[Dmasked 1840]

Diversifying the risks is a key element of trading to manage the price drops. The price is volatile for crypto and may fall anytime, so it is necessary to build a good portfolio to adequately allocate the losses when they actually occur. Portfolio can also be useful to increase the income from trading if developed properly.

[Captain Karim 0]

I do not agree with you, Bitcoin is the market master, when it goes down it pulls all the cryptocurrencies with it to the bottom, and when it goes up the opposite happens too.

[Ms.o 3322]

That's true. Investing to atleast two or more projects can give you more chances of earning,because if one fail you still have chance to other projects. So we have to divide are investment wisely. Good results depends on our decisions and plans.

[Shaza Ahmad 1682]

I do not agree with you, we are at the moment all cryptocurrencies have fallen in conjunction with the rise of Bitcoin, so it does not matter which cryptocurrency we have, everyone fell, so Bitcoin is the best in the market.

[Whited35 15285]

The main principle that you can follow is " Do not put all eggs in a basket" I have been diversifying my portfolio for a long time to minimize the risks of extreme lose while performing the cryptocurrency tradings in the crypto world.

[pablomarwan 3082]

Yes, you are right. If the market is stable, the currencies will behave according to the value of the transactions that take place in the day. And you will notice that some of the differences some of the currencies know an increase and others decrease and through these movements there is a possible strategy for profit

[Laboni 755]

Currencies are always competing in the crypto market. Trying to get up by competing with one another. However, the price of the currency will increase depending on the market. Analyzing the market helps you to diversify your portfolio to minimize the effects of crypto volatility.

[Treat1234 0]

On 4/24/2020 at 12:44 PM, kabanidze said:

The exchange cannot of course, but diversification of a portfolio hits hard at the price of a coin. Diversification of the portfolio should be avoided in every way.

Having different cryptocurrency coins is very good buddy, it is not bad idea to take because it won't b cause you anything, if there is a bull run, all your coins will have a good profits, this what we called portfolio

[Rendra808 92]

that is exactly what I do in my trades to prevent losses. maximum cash will go up and down with BTC but there are constantly a few cash which move in contrary route in comparison with bitcoin. while most people of cash are happening, you could switch a few (or all) of your capital to those coins to begin moving upward and preserve the cost of your essential investment. This approach is referred to as coin switching however you need to be cautious to choose the proper cash. in any other case your losses can also get larger.

[Wilmer Garcia 0]

So I like his point of view and I take it into account I just start trading cryptocurrencies I do not have a very large capital but I will try to buy several cryptos

[Mwangi 5611]

Thats the only way to make money diversification there is a lot you earn from it, but be careful , there are those diverse ways that can hold your money and it can take a long long time so we need to work and be sure of it, the good way is to really check the once that reward

[Brand1 1336]

I agree with you that doing currency diversification within our business areas and within the private portfolio is very important and reduces the risk of obtaining large losses because as you mentioned you cannot decrease the prices of all currencies together

[bitcoin-shark 1928]

Unfortunately, it is true that investment losses can be huge. This is why we have to be careful and make diversified investments on several altcoins that obviously cannot go wrong all together...

[DreamStage 2105]

This topic statement is true, but, if you are willing to start doing it you better to know each currency and his project's whitepaper so you can see if it's worth buying / selling / trading for as if it will become an active coin with a good 24 hour volume trading.

 

In case being a dead coin you are going to lose more money that you think you would at first hence.

So just make sure you have information regarding such portfolio currency before hand.

[iloveyobit 6599]

Yes, storing multiple currencies increases your profit rate and reduces the percentage of your loss, but storing a lot of currencies will lose you focus, so just store a few of them.

[koussai999 1986]

It is possible that, and it may not happen, I think the most important thing is that we are currently studying the currency completely and studying the news about the currency and when we distribute investments as you tell us in this post I think that the risk will actually be less, but after we study the currency That we want to invest in