Here’s How I Would 10X My Crypto Portfolio

Investing is one of the simplest yet so complex things to do. To make money investing you only need to buy low and sell higher, pretty simple, right?

But there’s a catch. As humans, we are prone to break our own rules, get sentimental, lose confidence, and make us fail.

10xing a portfolio is simple, but again, there are some rules to follow. In this post, I will be highlighting some of the rules and tips that have worked for me in the past, and things that I would avoid or change if I had the opportunity.

I’ve realized that investing in crypto is just like investing in anything else. Of course, the research is different, but the rules are mainly the same.

Diversifying

Sometimes too much, sometimes too little. But what I have found is that using minimum/maximum investments plus % per sector is the best way to do it.

Let’s say I want to invest $10,000 into the markets over the long run.

Here’s how I would do it;

30% Allocation to safe projects, specifically ETH and BTC.

This will protect your portfolio from crazy swings in price since ETH and BTC move less than altcoins.

30% Allocation to foundations.

Just like a house needs proper land, protocols or daaps need a base to deploy. I would allocate 30% of my capital to L1 and L2. Examples: Matic, Arbitrum, Avax, Metis.

30% Allocation for everyday use.

Let me explain myself. Windows and IOS are cool but yet alone can you do something with them? Not really. Therefore, L1 and L2 are indispensable but everyday protocols like dexes, storage, oracles, perpetual, metaverse, and gaming are what we are really into. That’s the only way we can feel and understand the power of crypto.

Below I will give you a list of these protocols.

10% new narratives or riskier projects.

When Metaverse came out I saw a lot of people dumping all their money into them to finally lose it all after the hype. New narratives are great but most of them are just hype because they are yet usable.

This can also be for very specific projects that are not as common. An example is Oracles and Storage. Even though there are some big projects and they are not super risky, my problem with them is;

Do you know someone that is storing something or is really into oracles? Unfortunately, it is not something that I will be testing myself or know someone to get feedback on.

I would allocate only a small portion of my portfolio and even take some profits to be on the safe side.

Now that we covered the percentages, let’s use actual money as an example.

After creating a list for each percentage allocation I would DCA instead of throwing all my cash at once. Decide the total amount you want to invest this year, then divide it per month. Let’s use the $10,000 example which comes to $833 per month.

Here’s my list, and yes this is the actual crypto I am buying. Be aware that this list is changing over time as I do more research.

30% Safer projects

• $125 in BTC and $125 in ETH every month.

30% Blockchains

$250 spread out on:

• Matic
• Arbitrum
• Optimism

30% Everyday protocols

$250 spread out on:

• Dydx [Dex & trading]
• Velodrome [Dex on OP]
• Camelot [Dex with launchpad]
• Stargate Finance [Transfer from different blockchains]
• Iluvium [Hard to put here, but in reality, it is mainly for gaming]

10% Risky projects

$125 spread out on:

• Lyra [Options trading]
• FileCoin [Storage, but they will be a blockchain, might move up]
• Blur [For NFTs, not something I am into, therefore it is risky (for me) ]

Lastly, how do we make money, or when to take a profit? I would first start with the charts. If something goes 300% up, I might as well take some profit, or if you have too many holdings and not enough capital then it is never a bad idea to take some money off the table and reinvest when prices go back down.

On the other side, you might as well just focus on purchasing and cash out whenever we are in a bull market again.

Whichever your goal, as myself here are some of the things I would avoid:

• Getting in and out of a coin. If I take profit, I would wait and I mean really wait before jumping back in just because I feel that I can continue milking it. Greed is not your friend, stay away from it.
• Investing a crazy amount just because I feel that I missed it. If you really feel that way, wait 24h and if it is necessary invest some to lower your anxiety but be conscious and cautious.
• Never invest more than you can. I’ve done it before thinking that a coin would go up so I would have time to cash out and pay my bills. WRONG! Got screwed up so many times.
• We don’t buy at resistance. If BTC has resistance at 28k and support at 24k, we wait for the 24k (ish) to hit.
• You don’t have a job on wall street and you are a guru, don’t beat yourself. It takes time to learn all this, the price you pay to learn crypto is your losses, learn from them.

Outcome:

After 12 months my portfolio should have a decent amount in ETH and BTC, while also holding some good layers 1 and 2, exposing myself to good dapps we use on a daily basis, and not overexposing myself to smaller projects.

This is not a rich quick scheme, but with consistency, it can become a rich slow scheme.

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