Ask Leo : how much importance does spreading your investment across different cryptocurrency have to your investment

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HELLO HIVE...

The volatile rate of cryptocurrency has made many investors result to taking some drastic decisions when it comes to how they want their investment to look like, the bear market has even thought traders the bad patches their investment can go through within years.

With the invent of new crypto tokens every day would it still be a wise decision to leave your investment in one crypto assets or to have different crypto assets at a time.

The situation where you are able to move your investment freely and also understand how the blockchain technology works would help you understand how important it is to have your investment cut across different cryptocurrency in the crypto market space.

Having just one investment like bitcoin alone can be very risky because even when bitcoin and so many other altcoin where crashing there are some crypto tokens that are doing well in the crypto market space so a situation where bitcoin continues crashing till it probably gets to its all time low would see you stuck without any potential route than either to keep hold of the token or to sell which is not always profitable.

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Then how many crypto tokens should I hold in my wallet

I don't think having just a single token is a good idea if you really want to take advantage of the market but that does not mean you should invest in just any how token, you can start by Investment a small fraction of the top five to ten crypto based on the current market cap and also learn a little bit on NFTs too so you can invest in them it seems to be where the market is pointing at recently because of how it is widely used in gaming. Yhe

The current market cap is supporting this since some altcoins are even doing better than bitcoin in the current market cap.

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