#Liquidity101
My initial thoughts on capital growth in crypto were roughly as follows -
"I will buy some tokens and just hold them".
However, over time, I realized that it's not all that easy and straightforward.
✔️ Liquidity - this is when you can easily sell or exchange your coins.
But what if the asset is no longer needed by anyone?
Then you have "dead weight". 🤔
So, how to form your crypto portfolio?
First of all, you need to pay attention to the liquidity of each asset. Is there demand, are there large pools on the exchange?
I do not yet have my crypto portfolio, as my steps are those of a beginner, but if I were to create such a portfolio now, I would focus on:
☑️ BTC, although liquidity is decreasing, demand is increasing;
☑️ USD Coin (USDS) stable liquidity and growing popularity
As a beginner, I would concentrate only on these assets, assets with high liquidity and stability. This will ensure flexibility and reduce risks.