Trading
Portfolio
A collection of cryptocurrency investments held by an individual or institution. Portfolio management involves selecting, allocating, and monitoring various crypto assets to achieve investment goals.
Last updated: January 5, 2025
What is a Crypto Portfolio?
A portfolio is your complete collection of cryptocurrency investments. It includes all the digital assets you own across various wallets and exchanges. Effective portfolio management is crucial for maximizing returns while managing risk.
Portfolio Components
Asset Types
- Bitcoin (BTC): Often the foundation
- Ethereum (ETH): Smart contract platform
- Large-cap altcoins: Top 20 by market cap
- Mid-cap altcoins: Higher risk/reward
- Stablecoins: Cash position
- DeFi tokens: Yield opportunities
Sample Portfolio Allocations
Conservative
| Asset | Allocation |
|---|---|
| Bitcoin | 60% |
| Ethereum | 25% |
| Stablecoins | 10% |
| Large-cap alts | 5% |
Balanced
| Asset | Allocation |
|---|---|
| Bitcoin | 40% |
| Ethereum | 25% |
| Large-cap alts | 20% |
| Mid-cap alts | 10% |
| Stablecoins | 5% |
Aggressive
| Asset | Allocation |
|---|---|
| Bitcoin | 20% |
| Ethereum | 20% |
| Large-cap alts | 25% |
| Mid-cap alts | 25% |
| Small-cap/DeFi | 10% |
Portfolio Management Principles
Diversification
- Spread risk across multiple assets
- Include different sectors (DeFi, L1s, etc.)
- Don’t put everything in one coin
Rebalancing
- Periodically adjust to target allocation
- Take profits from winners
- Add to underweight positions
Position Sizing
- Limit exposure to any single asset
- Higher risk = smaller position
- Never bet more than you can lose
Portfolio Tracking
Methods
- Exchange dashboards (limited view)
- Portfolio trackers (CoinGecko, CoinMarketCap)
- Spreadsheets (manual)
- Dedicated apps (Delta, FTX Tracker)
What to Track
- Total value
- Individual asset performance
- Allocation percentages
- Profit/loss per position
- Entry prices
Common Mistakes
- Over-diversification (too many small positions)
- FOMO buying without research
- Ignoring correlation between assets
- Not taking profits
- Checking too frequently
Track and manage your portfolio across exchanges like Coinbase, Binance, and Kraken.
Ready to Start Trading?
Now that you understand portfolio, explore the best exchanges to begin your crypto journey.