The futility of crypto diversification

Discussion in 'Crypto Assets' started by Pekelo, May 19, 2021.

  1. virtusa

    virtusa

    ???
    30 BTC is about $1.2 million. For me that's not small.
     
    #11     May 19, 2021
  2. tsznecki

    tsznecki

    Except 100+ years ago with the Spanish flu.

    https://en.wikipedia.org/wiki/Spanish_flu

    Don't make excuses.
     
    #12     May 19, 2021
    johnarb likes this.
  3. BKR88

    BKR88

    "30 coins" = 30 different coins (ADA, XLM, ETH, etc....)
     
    #13     May 19, 2021
    johnarb and virtusa like this.
  4. Nocoiner here, but it makes sense to me to be watching the "crypto fees" sites to see where the action is. Like https://cryptofees.info/

    Then again, if you're hoping to catch the next lotto ticket crypto like Shiba, you'll have to scour elsewhere.
     
    #14     May 19, 2021
  5. S2007S

    S2007S

    Say whattttt


    Everything down 50%%%%
     
    #15     May 19, 2021
  6. Pekelo

    Pekelo

    And today you are going to learn the lesson in real time what this thread taught you.

    Would you mind disclosing how the whole portfolio is doing, now that the crypto market crashed? If I am right, you are down badly, if your diversification is right, well, but I don't think that would happen.
     
    #16     May 19, 2021
  7. noddyboy

    noddyboy

    Do you have a position or just finding joy in other's misery?
     
    #17     May 19, 2021
    zghorner and johnarb like this.
  8. hilmy83

    hilmy83

    how is this different than equity markets. you got the big asset driving the market. You're going to say that someone who owns one stock is no different than someone who diversify across different stock sectors?

    Capture.JPG

    And no, not all crypto are in the same sector, i would argue not even in the same class.

    cryptocurrency is a bad name cause it confuses people into thinking that it's all the same

    bitcoin is a an asset value play
    ethereum is a smart contract play
    the graph is a query play on blockchain
    chainlink is connectivity play on external apps
    and so on and so on...
     
    #18     May 19, 2021
    yc47ib, Sprout and Poljot like this.
  9. Pekelo

    Pekelo

    I am just having fun staying poor.
     
    #19     May 19, 2021
  10. Pekelo

    Pekelo

    I agree with you that not all cryptos are the same, there are certain subsectors. Tether and stable coins are obviously a completely different bird than BTC.

    That being said, would you mind posting the different subsectors' performance today? Just pick one crypto from each, I am too lazy to do it.

    A qucik look at Coinbase is showing that ETH is actually down more than BTC. How about Cardano? The same shit. So much for subsectoring cryptos...

    In theory you are right, the problems with theories is that they don't always work in practice.
     
    #20     May 19, 2021