If your portfolio resembles this, you might be missing the mark ❌❌❌❌
#Investment 1 - $WIF
#Investment 2 - $PEPE
Investment 3 - $MEME
Investment 4- $DOGE
Investment 5 - $SHIB
Investment 6 - $BONK
This is a common allocation, especially among newcomers, who invest their entire capital in MEME coins. MEME coins undoubtedly have their merits 💯, being the swiftest path to turn $100 into $1000 in cryptocurrency, sometimes even reaching $3.8 within 2 hours.
👉However, as a crypto trader and investor, it's crucial to understand and implement diversification. MEME coins, being highly volatile and prone to manipulation, carry significant risks. Just recently, I witnessed a group of influencers hyping a meme coin, driving its market cap from $186K to over $1.5M within 12 hours, only to see it plummet back to $389K within 24 hours after the dump. These influencers profited handsomely, utilizing their followers as exit liquidity.
👉Therefore, it's wise not to construct a portfolio solely comprised of MEME coins or allocate 80% - 90% of your holdings to them. Instead, consider this approach:
- Allocate 20% - 30% of your capital to MEME coins
- Devote 30% - 65% of your capital to low market cap gems
- Invest the remaining percentage in solid projects with low market caps, such as Solana, Ethereum, and others.
We trust you find this advice both informative and entertaining.
