$Diversifying the cryptocurrency portfolio means distributing investments across different cryptocurrencies and asset classes to reduce risk. This can help mitigate losses if one cryptocurrency performs poorly.

Benefits of diversification:

Risk reduction: If one cryptocurrency falls, others may offset the loss, creating a more stable investment experience.

Improved performance: A diversified portfolio may have the potential to achieve better long-term returns.

Adaptability: It allows for greater flexibility to adapt to market changes.