Investment idea: revise your investment portfolio and adjust plans

Investment idea: revise your investment portfolio and adjust plans

Crypto market, like the stock market, remains under heavy pressure from bears and the negative economic situation in major economies. High inflation in the U.S. and Europe maintains its pace, central banks are raising rates, making credit less available - all against a backdrop of rising prices.

Stagflation has become a term that only the laziest has not heard of. So there is no reason to expect any breakthroughs from cryptocurrencies amid general horror and expectations of a stock market crash. Now is the right time to reconsider your investment portfolio, adjust planning horizon - if it was close, it is definitely worth to move it to a later period, determine what share is taken by bitcoins, by stabelcoins and altcoins, once again estimate your risk tolerance level and based on that decide how much you can invest weekly/monthly and in what assets.

Now, amid the turbulence, I would advise to act very cautiously and maybe stick to a conservative strategy on the crypto market, namely to increase bitcoin share in your investment portfolio and reduce altcoins to a few coins by categories (infrastructure, payment, gaming, etc.).

If everything is more or less clear with bitcoin - it is the oldest cryptocurrency, which has already proved its viability and managed to keep from falling amid the current turmoil - the situation with altcoins and stabelcoins is more complicated. If you keep a part of your portfolio in stabelcoins, you should be aware of the risks - global risks, such as the decline of the US dollar, and regional risks, such as the possibility of blocking addresses belonging to Russian citizens by the issuer of stabelcoin.

I would be wary of USDC stablcoin, given its policy on Tornado Cash, and would prefer USDT.

Among the altcoins to watch out for, I would name XRP because so far the coin has not accounted for the rather positive news related to the Ripple Labs and SEC litigation. Most likely, the trial will end in either a full or partial victory for Ripple Labs against the regulator, which will be an inspiring example for the rest of the crypto industry.

But until there is a final decision - and again amidst a negative market backdrop - XRP continues to be very stingy in its response to this positive news. I suppose you could include this coin in your portfolio with a planning horizon of at least 1.5-2 years.

If you already have the infamous Aptos in your portfolio, I would keep it and not touch it for a couple of months for sure. After the launch of sales, those who wanted to dump the coins have already sold them, thus provoking the collapse of its rate. Now the coins were concentrated in the hands of enthusiasts and big investors. And that means the whales got a chance to manipulate APT price as they want: we may see APT rise, we may see even deeper fall.

Trying to outplay the market is definitely not a good idea. It's better to leave the coin in your portfolio, if it's already there, and hope that you can ride the "bump" wave launched by some market maker.

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