Investment Strategy: Diversification, Long-term, Counterintuitive
1. Reject 'all in on a single cryptocurrency'
Even Bitcoin can plummet due to policy shocks (like a country banning mining in 2025 leading to a sudden drop in hash rate) or technological replacements (such as quantum computing threats). Suggested allocation:
Core Assets (60%): Bitcoin (BTC), Ethereum (ETH), and other top 5 cryptocurrencies by market cap
Satellite Assets (30%): Cryptocurrencies with actual applications (such as tokens related to the Lightning Network, decentralized storage protocols)
Speculative Assets (10%): New cryptocurrencies/narratives (like AI + blockchain, carbon credit tokens), with strict stop-loss measures
2. Dollar-cost averaging > Timing the market, avoid emotional trading
The market is greatly affected by short-term black swan events from sources like Musk's Twitter and Federal Reserve policies (for instance, a central bank rate hike in a certain country in March 2025 causing Bitcoin to drop 18% in one day). Regular fixed-amount investments (like investing $1,000 weekly) can smooth out costs and avoid chasing highs and selling lows.
3. Long-term holding ≠ Blind holding
Regularly review your holdings: Are the promises in the project's white paper being fulfilled? Is the team still actively developing? By 2025, about 40% of NFT projects and DeFi protocols have stopped updating, so it's essential to cut losses in a timely manner.
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