Getting The Formula Just Right
Investing in altcoins can be a very risky endeavor but also very rewarding! However, most people tend to share stories of how they got rekt investing in alts. This is probably the reason why many tend to avoid smaller projects. If they get rekt holding Top 100 alts, they reason that they will not stand a chance when it comes to micro-caps. The risk is considered to be way too high and subsequently, an avenue to be avoided. It is actually not that difficult, provided you are prepared to put in the time to do some extensive research. Coupled with research is the practice of certain disciplines, which together can literally change your entire experience.
Whether you want to admit it or not, real gains are made by picking tomorrow's winners today. A lot of people are looking for exceptional gains by doing conventional things! You won't create significant wealth by investing in BTC, ADA, or even ETH. In the Crypto world, a 10X is nothing really! Or at least, it should be. Many coins and tokens have moved in excess of 100X in this cycle. Some have even reached 300X and higher. This is where the money is made. Investing ADA 2 years ago is another story though.
You need to be picking the correct projects and using the most efficient strategy possible. This strategy should also be as safe as possible. In my latest blog post, "The Truth About Investing In Altcoins", I discuss a number of points that hinder success in this niche, as well as ways to increase your success rate.
One Correct Move Can Change Everything
Let's take a look at a proposed scenario. A portfolio valued at $10 000 dollars has an allocation of 10% in high growth potential coins. Say that the entire 10% is lost, the portfolio is still valued at $9000, perhaps less as other coins may have dropped. On the other hand, let's say that a 100X was achieved with the $100 allocation. The portfolio is now worth $100 000. A 100X is still modest when you are swimming in these waters.
I have personally had some investments perform in excess of 300X this cycle. So for the readers that are considering that an unlikely outcome, think again.
So, a $10 000 portfolio drops slightly or increases significantly. Due to the possibility of exceptional gains, modest or small investment allocations are more than enough to realize gains. Always do your own research though, as these are merely my own opinions.
Disclaimer
First of all, I am not a financial advisor. All information provided on this website is strictly my own opinion and not financial advice. I do make use of affiliate links. Purchasing or interacting with any third-party company could result in me receiving a commission. In some instances, utilizing an affiliate link can also result in a bonus or discount.
Had some tokens that did well too. My problem is with these circumstances it gets difficult to find new opportunities and gamble 10k in ten different altcoins. If you have suggestions though, I would love to read about them.