#DiversifyYourAssets
Below is a risk-averse capital allocation strategy during the current high volatility season:
Capital allocation strategy 70/20/10 (Classic & Effective)
1. 70% – Safe and Stable:
Top coins like $BTC , $ETH or stablecoin staking/farming ($USDC , #USDT。 , #FDUSD. ).
Prioritize long-term holding, avoid short-term trading.
Should also combine with a DCA strategy (dollar-cost averaging over time).
2. 20% – Medium Risk, Growth Potential:
Layer 1, layer 2, DeFi projects with medium market capitalization: SOL, ARB, OP, AVAX, BNB...
Can engage in short-term trading or hold for 1-3 months following the trend.
3. 10% – High Risk, High Reward:
Meme coins, AI system coins, newly unlocked tokens or airdrops.
Only for those who accept risks and have experience.
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Additional Tips:
Keep at least 10–20% of capital in stablecoins to take advantage of opportunities when the market corrects.
Set stop-loss and take profit (TP) levels clearly.
Avoid FOMO when prices pump; instead, look for entry points at support levels.
Follow news from the Fed, ETFs, and large capital flows to adjust your strategy.