LogFAQs > #957139683

Sunroof posted...

Im happy to be in crypto but man Bitcoin seemed to be the least best since getting in a few months ago.

I'm pretty sure we've recommended other tokens. Even if you want to stay in one of the higher market cap options it's probably not too late to switch to Ethereum before the proof of stake switch gets flipped.

Bitcoin still has some innate advantages as the largest name in the game, but it's only natural that it's very public environmental concerns will continue to hold it back.

Now my approach to crypto has been different to most others here. I'm very active buying and selling in small amounts (around 2% of my liquid total if I can help it) and I keep a portion of my profits as USD gains and the other portion of profit I keep in crypto. It's a very small amount each time, but it adds up. I earned a fair bit of VTHO for example by making a lot of trades when it was around .0060 - .0070, and now that it's back to .0150~ those gains that I left in crypto have more than doubled in value. I've been refining my approach since I started in late march and I just recently hit the point where i've doubled my initial investment. Naturally there are other, riskier ways to more than double an investment in that time, but because each individual transaction represents such a small portion of the total I feel like my risk at any given point is very low. Obviously I don't expect to continue to double every 4 1/2 months, but most of my balance at any given point is in USD so I'm never empty handed when an opportunity to buy a dip comes along. It has been a learning process though. Initially I was using 5% of my total as my buy-in, and I found myself running into a wall where I would miss opportunities because I was still waiting for a fluctuation to get out of some positions that I'd been waiting on, but since scaling down to 2% things have been much more smooth. I'm also not sure I'm going to stay at 100% gains because my running total has had an ebb and a flow to it, but when the tide rises I realize some gains, and when the tide is going out I expand my total number of tokens for "free" by selling a portion and rebuying more total tokens for less total cost. Obviously if I were psychic or crazy I could just put 100% of my investment into a token I liked and cash out when it doubles and accomplish 4.5 months of work in a single day, but I'm much more comfortable nickel and diming at risk levels I can tolerate.

The 6 tokens that I've been buying/selling the most have been: ADA, VET, VTHO, ALGO, ATOM and DOGE.

ADA because I believe that it's really going places and it has enough support to dominate the market cap some day (possibly even soon).

VET and VTHO because VET seems to have enough practical application that I believe it is going to stay relevant and VTHO is used as a fee in the VET ecosystem so it will continue to have regular use. Also for staking VET I end up with some free VTHO each month so that's a nice bonus.

ALGO and ATOM I don't know as much about, but they both have staking rewards on binance as well so even when they aren't performing as well or even when i get stuck with a larger position while I wait to turn a profit I end up collecting bonus tokens that will pay dividends long term.

And DOGE because I realized a lot of profits in DOGE back when it was trading at 7-8 cents and it has still continued to fluctuate enough that I can regularly turn a small profit on it at least once a week. It's long term viability is questionable so this is one I may simply cash out all together if it makes a big run, but for now I have continued to keep half of my profits as DOGE when I trade with it.

So on such occasions where I've bought into all 6 I only have 12% of my liquid total invested, which gives me the freedom to invest an additional 2.2% per stock to buy a large enough dip and average my costs down which puts my total to 25.2%. Effectively I can afford to buy 4 separate dips in all 6 tokens before running out of money and by that point the price would be such a small fraction of where it began so my confidence to recover to my new average price would be high. And when the prices recover I will naturally end up profiting less than someone who was psychic and waited for the bottom price before investing anything at all, but since I'm not psychic I have to content myself to do it this way.

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~C~ FD
https://imgur.com/dGDfxaw