The best strategies for managing digital currencies in the upcoming bull season
With Bitcoin on the verge of a potential breakout above its all-time high of $73,000, market analysts are predicting a rally into “banana territory.” This could pave the way for a bull season for altcoins.
This expected rise has sparked discussions about the best strategies for building a profitable cryptocurrency portfolio during the upcoming altcoin season.
Analysts share their cryptocurrency portfolio strategy
A crypto market analyst who uses the pseudonym Bee, advises beginners looking to enter the world of cryptocurrencies with little capital.
His crypto journey began on the Aptos testnet, where he participated in activities that led to a $30,000 gain on an APT airdrop four months later. For those starting out with no money, he recommends participating in active testnets like Berachain and Babylon Chain.
After his initial success, Bee turned his focus to farming airdrops for the mainnet. He used over 100 accounts to grow Arbitrum airdrop and made $180,000. Investors with at least $1,000 are recommended to explore opportunities in existing major network projects such as Base Network, Zora, and Hyperlane.
Bee then turned his attention to meme coins, which were an emerging trend in the market. and say :
“They literally blew up the market, bringing in thousands of dollars to users every day.”
After investing $10,000 in PEPE, he saw his holdings rise to over $160,000 at its peak. B is still active in meme trading, with a recent purchase of POPCAT tokens increasing his investment from $3,000 to $60,000.
Continuing Bee's experience, YouTuber No BS Crypto offers six important tips for preparing a portfolio for the altcoin season.
He stresses the need to set precise goals, adopt a risk-averse attitude, and diligently track all transactions. It also emphasizes the importance of diversifying investments across promising crypto narratives, having a defined exit strategy, and implementing a disciplined approach to dollar cost averaging.
NoBS Crypto said:
“Your wallet is the reason 95% of people break even in the cryptocurrency market. That's a statistic, I'm not putting out any numbers here.”
In contrast, YouTuber Miles Deutscher shared some short-term strategies. He talked about the potential in VC-backed altcoins that have performed poorly recently but are not facing imminent token unlocks.
Deutscher said:
“I actually think there's a framework here, which is a coin that was launched with a low float, a high valuation that was fully diluted, and it's down a significant 80% from its highs, and it's seen a lot of selling because token openings have flooded the market along with sentiment has crashed hard. “However, it is important infrastructure, it has a strong use case, it has strong backers, and the next unlock won’t be for several months.”
Furthermore, he identified several tokens, including LayerZero (ZRO), zkSync (ZK), Ethena (ENA), StarkNet, and Aethir (ATH), that are compatible with this framework. Deutscher has these altcoins on its watchlist for short-term trading.
These diverse strategies provide investors with a wide range of options to explore the cryptocurrency market. However, investors should consider these strategies in light of their own risk tolerance.
