"What if I just invest in all the top 100 coins and just wait?"
"What if I just buy on the ETH spot?"
"What if I just buy the latest offerings on Binance?"
Let's try to break down all of these strategies in today's article, using a few crypto investors as examples!
What was the raw data for the Twitter thread?
▫️Топ-200 CoinMarketCap + Binance listings from 2018 to February 2019.
▫️Time Time horizon: bearish 2018 to bullish 2021.
▫️Date Entry: February 2019 (this date was chosen for entry to simulate buying during a deep bear market);
▫️Date Exit: price high of each coin. (Since it is impossible to reach every high, 50% of the theoretical return of the simulation would be a more realistic result).
Investor 1: Investing $1000 in the top 100 coins:
Proposition: "I don't want to waste time on re-buys, the coins in the top 100 are both reliable and have the potential for 50 X."
📝 Number of coins: 100.
💲 Profit: $21,600 (22.6X).
📎 Easy to manage: It is almost impossible to track all the coins in the portfolio.
Investor 2: Investing $1000 in coins from 100 to 200.
Proposition: "The top 100 are mainstream, the top 200 are sure to bring great returns."
📝 Number of coins: 100.
💲 Profit: $7,700 (8.7X).
📎 Easy to manage: It is almost impossible to track all the coins in the portfolio.
Investor 3: Investing $1,000 in new coins (listing from 2018 to February 2019) in the top 200.
Proposition: "New projects generate more interest and get more growth. I stay within the top 200 to avoid ultra-high risk."
📝 Number of Coins: 35
💲 Profit: $16,600 (17.6X).
📎 Simple management: very complicated.
