Portifolio Management in Crypto

5 Jul 2022

One of the things we need to figure out in this web3 journey is how to manage our cryptocurrency portfolio or Networth. This is very necessary as a crypto enthusiast as it could either make your journey a very rewarding one or it would be full of regrets.
According to IEE explore : 

portfolio management is the decision-making process of allocating an amount of fund into different financial investment products

Simply put, its the process of controlling a set amount of money you have into wise investments.
Portfolio management is an important concept for a crypto enthusiast. Whether a degen, a long-term investor, a Futures trader, or an NFT flipper, it is one of the processes of investment.

There are many types of Portfolio Management, but two are the most common:

Active Management: Active management is actively purchasing and selling specific assets on a regular basis in order to maximize profits or minimize risks. Most people connect hedge funds with this form of portfolio management, in which the portfolio often changes in response to market circumstances. Simply put, you are always active in the market, taking profits, cutting losses, or re-investing.

Passive Management: This is the opposite of Active. As an investor, you basically just buy the token and forget about it. Its usually done though after a series of conductive research and analysis that you are making the right investment and it is generally for the long term. For example, most Passive Investors just prefer to buy just ETH or BTC for the long term.

Whatever style you choose to adopt, it is dependent on how much spare time you have on your hands as a person, for example, someone with a 9-5 job won't be able to use the Active Management style due to work hours. However you do it, dedicate enough time to make research the tokens you want to invest in before making a move.

Hope this helps someone out there. See you in my next post

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Good info thanks for sharing
The blockchain which undergirds a digital currency like bitcoin is not able to prevent double-spending on its own. Rather, all of the different transactions involving the relevant cryptocurrency are posted to the blockchain, where they are separately verified and protected by a confirmation process.
Managing one's portfolio strategically is important for us to be able to make the most of our portfolio, especially as a crypto user. If your portfolio is not properly managed then it could lead to being rekt on our investments
I thought I was managing my portfolio, it was just going down. I witnessed it
In brief, cryptocurrency Networth is just proper and careful investments in to different cryptocurrency businesses
For me , 5-10% low cap, 10-20% hyped project for short terms , 10-20% BTC and ETH , 30-40% stablecoin for long terms
Great Info
Amazing article. With these current market conditions, its a good thing to manage your portifolio
portfolio management is must in crypto market.. helpful article for everyone
this is necessary to undestand in crypto