The Crypto Portfolio Strategy That Changed My Life

When it comes to my cryptocurrency portfolio strategy, I am different than most. While others may try to make as many gains as possible in the short term. I am more than happy to sacrifice those short-term gains and take a nice and slow approach. Let me tell you why.

When deciding to build your crypto portfolio, you must first decide if you want to have a diversified or highly concentrated portfolio. A diversified portfolio means that you will have many different cryptocurrencies in your portfolio, which will increase your chances of having a coin that eventually performs very well. But, because your money is spread out over several assets, it will also diminish the potential gains you can have. However, some often try to balance this out by taking on a little more risk and investing in lower-cap altcoins.

The other option is maintaining a highly concentrated portfolio of only a few cryptocurrencies. Those who have high conviction in certain projects often prefer this strategy. Since there are only a few coins in your portfolio it increases the odds of missing out on potential gains by not owning the coin that is performing well. But, if you get lucky and have the crypto that does well, your gains will be much higher due to having a higher-concentrated portfolio.