In the Crypto Assets market, how to invest in alts correctly has always been the focus of investors' follow. This article will reveal a scientific trap for altcoin investment strategies to help you move steadily in this Fluctuation market.
First, reasonable asset allocation is crucial. Referring to the practices of professional investment institutions, it is recommended to limit the investment proportion of alts to within 20% of total assets. This conservative allocation method can help investors maintain a stable mindset during significant market fluctuations.
Secondly, caution is required when choosing investment targets. We should focus on projects that have real value and application prospects, rather than purely speculative air coins. Before investing, it is essential to conduct in-depth research on the project, understanding aspects such as its technological innovations, team background, and market demand. Only when we have a clear understanding of the project and anticipate potential returns of 3-5 times should we consider buying in.
When determining the timing for buying, it can be considered from two dimensions:
1. Market Cap Ratio: When Bitcoin's share in the entire Crypto Assets market drops to around 60%, it usually indicates that the value of alts is undervalued, which may present a good buying opportunity. In contrast, when Bitcoin's share reaches 70%, most alts tend to be in a sluggish state.
2. Technical Analysis: Avoid chasing highs and cutting losses, especially do not touch those coins that are sharply declining. Instead, we should focus on high-quality projects with relatively stable price trends. This strategy usually allows us to buy at prices approximately 30% lower than the market average.
In a bull market, investment strategies need to be adjusted according to the changes in market phases. In the early stages of a bull market, it is feasible to follow the market trend and buy quality projects. However, as the market heats up, we need to stay clear-headed, take profits at the right time, and not blindly follow others' advice.
Finally, it is important to emphasize that for projects lacking substantial value, one should maintain a cautious attitude even during active periods in the altcoin market. Real investments should be based on rational judgments of project value, rather than relying on luck and market sentiment.
By following these principles, investors can reduce risks and increase the likelihood of returns in the alts market. Remember, in Crypto Assets investment, rationality and patience are often the keys to success.
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probably_nothing_anon
· 15h ago
Shorting is the way to go.
View OriginalReply0
LiquidityNinja
· 23h ago
Caution in and out is very important.
View OriginalReply0
Blockblind
· 09-03 09:58
Worth learning and recording.
View OriginalReply0
TestnetFreeloader
· 09-03 02:49
Steady brings miracles
View OriginalReply0
TrustlessMaximalist
· 09-03 02:48
Steady investment does not mean waiting passively.
In the Crypto Assets market, how to invest in alts correctly has always been the focus of investors' follow. This article will reveal a scientific trap for altcoin investment strategies to help you move steadily in this Fluctuation market.
First, reasonable asset allocation is crucial. Referring to the practices of professional investment institutions, it is recommended to limit the investment proportion of alts to within 20% of total assets. This conservative allocation method can help investors maintain a stable mindset during significant market fluctuations.
Secondly, caution is required when choosing investment targets. We should focus on projects that have real value and application prospects, rather than purely speculative air coins. Before investing, it is essential to conduct in-depth research on the project, understanding aspects such as its technological innovations, team background, and market demand. Only when we have a clear understanding of the project and anticipate potential returns of 3-5 times should we consider buying in.
When determining the timing for buying, it can be considered from two dimensions:
1. Market Cap Ratio: When Bitcoin's share in the entire Crypto Assets market drops to around 60%, it usually indicates that the value of alts is undervalued, which may present a good buying opportunity. In contrast, when Bitcoin's share reaches 70%, most alts tend to be in a sluggish state.
2. Technical Analysis: Avoid chasing highs and cutting losses, especially do not touch those coins that are sharply declining. Instead, we should focus on high-quality projects with relatively stable price trends. This strategy usually allows us to buy at prices approximately 30% lower than the market average.
In a bull market, investment strategies need to be adjusted according to the changes in market phases. In the early stages of a bull market, it is feasible to follow the market trend and buy quality projects. However, as the market heats up, we need to stay clear-headed, take profits at the right time, and not blindly follow others' advice.
Finally, it is important to emphasize that for projects lacking substantial value, one should maintain a cautious attitude even during active periods in the altcoin market. Real investments should be based on rational judgments of project value, rather than relying on luck and market sentiment.
By following these principles, investors can reduce risks and increase the likelihood of returns in the alts market. Remember, in Crypto Assets investment, rationality and patience are often the keys to success.