What would happen if I put $1,000 into every crypto currency?

By Cryptonite on ALTCOIN MAGAZINE

A blind fire approach to cryptocurrency investing is not a good idea

“What would happen if I put $1,000 into every crypto currency?”

This is a question I received on Quora one day and it brought into perspective how some people choose to invest into cryptocurrencies.

I am a big believer in doing your own research before investing into anything and below is my response to this question.

There are over 2,000 cryptocurrencies so you would need over $2 Million to accomplish that goal.

Next you will lose over 99% of that money since most of those cryptocurrencies are generic crypto-coins with no real use case.

Now if you wanted to invest in the Top 10 or Top 20 Cryptocurrencies you would have a better chance of seeing a return on investment.

However you would still have a great chance of loss.

Lets take a quick look.

Below is a graph showing the return you would have made if you invested in some of the top cryptocurrencies in January 2017.

The results look really impressive doesn’t it?

However a lot of these cryptocurrencies were not in the Top 10 or Top 20, in fact a lot were in the Top 100 instead.

At the end of the day, the most reliable way to profit from investing into cryptocurrency is to remove all the guesswork and start doing some research instead.

You can start by reading this cryptocurrency investment guide: How to Profit in Cryptocurrency — Medium

Next pick 2–5 “blue chip” cryptocurrencies for your “safe” portfolio from the guide and use the research methods to discover 2 or 3 cryptocurrencies which are riskier with a high return potential.

Then you can invest into each cryptocurrency, allocating more funds to the safer “blue chip” coins and lower amounts into the more volatile cryptocurrencies you discovered.

The research does not stop as soon as you invest however, you continue to research whilst doubling down on your positions and reinvesting profits from high performing coins.

Cryptocurrency investing is a marathon and not a race, good luck.

I hope you enjoyed my story, feel free to check out these useful resources below:

CEX — Exchange where you can use cash to purchase Bitcoin, Bitcoin Cash, Ethereum, Ripple, Stellar Lumens, Zcash, Bitcoin Gold and Dash from anywhere in the world.

BitPanda — Exchange where you can use cash to purchase Bitcoin, Bitcoin Cash, Ethereum, Ripple, EOS, IOTA, Tezos, OmiseGo, 0x, Litecoin, Pantos and Dash. Only available in Europe for now.

You can also keep up with me on Twitter.

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The purpose of ALTCOIN MAGAZINE is to educate the world on crypto and to bring it to the hands and the minds of the masses. This article was written and composed by Cryptonite on ALTCOIN MAGAZINE.