Best Ways To Manage Your Crypto Portfolio In 2022

Are you a Crypto buyer and want to manage your Crypto Portfolio then you are in the right place here we bring you the best ways to manage your Crypto Portfolio In 2022? So stay with us and learn about how can you manage your Crypto Portfolio?

What Is a Crypto Portfolio?

A Crypto Portfolio is the way to manage your Crypto Currency if you have more than two Crypto Currencies then you need to manage them with the use of the best Strategy. Here we get the best way to manage a Crypto Portfolio. By combining and diversifying their cryptocurrency and token investments, investors aim to increase risk-adjusted returns.

Many beginners think that investing in crypto means purchasing and holding Bitcoin. Did you know that there are more than 10,000 cryptocurrencies out there? The purchase of all 10,000 is not feasible for your portfolio, nor do you want to do so. 76% of all cryptocurrency value comes from the top five cryptocurrencies.

Best Way To Manage Your Crypto Portfolio In 2022

If you want to manage your Crypto Portfolio then you need to focus on the given steps. Most beginning crypto investors believe that buying crypto simply means holding Bitcoins in the hopes that their value will rise to $1 million. By balancing your crypto portfolio, you’ve already taken the first step towards creating a sustainable portfolio. There are a lot of intimidating terms associated with investing in digital assets.

  1. Dollar-Cost Averaging
  2. Use a Crypto Portfolio Tracker
  3. Selecting a Crypto Portfolio Tracker
  4. Be Rational
  5. Develop a Strategic Exit Strategy

Dollar-Cost Averaging

DCA is a means of automatically making fixed dollar-to-dollar investments, regardless of a token’s price. You will eliminate the anxiety caused by untimely investments by entering the investment in regular increments. In a strong bull market, you can buy more shares if the price of the cryptocurrency goes up. In the event that the price of cryptocurrency decreases, you will be able to add even more shares since your investment amount in fiat terms remains unchanged.

Use a Crypto Portfolio Tracker

Using a cryptocurrency portfolio tracker is a way to solve this problem. Using a crypto portfolio tracker, you would be able to see all of the information related to your wallets in one place. Keeping track of your investment in each cryptocurrency is made easier with portfolio trackers. As one cryptocurrency thrives over another, you’ll see that it gains a bigger percentage of your overall portfolio.

Also, most portfolio trackers allow you to trade across a variety of cryptocurrency exchanges, including By bit, without leaving their service. The trackers provide you with additional convenience by eliminating the need to log in to multiple exchange accounts to execute your trades.

Many coins in the crypto economy are decentralized, which is one of their biggest advantages. Building your portfolio will require you to work with several different wallets, exchanges, and platforms, enabling you to take advantage of promotions. Consequently, managing your crypto portfolio across these wallets can be cumbersome and you may lose track of which cryptocurrency is where.

Selecting a Crypto Portfolio Tracker

Figure out what benefits the tracker will give and what problems it will help you solve. Remember to factor in the time you spend organizing your trades when calculating your tax liability. Research the app’s security and safety. Many cryptocurrency portfolio trackers connect to cryptocurrency exchanges, making it critical to safeguard your funds.

It takes a lot of practice to become good at something. Many trackers have free trials, allowing you to experiment with them for a period of time. Look for a layout that is basic, clean, and easy to understand. You don’t want to waste too much time learning how to use your portfolio tracker. It would be easier for you to manage your crypto portfolio if it has an intuitive design.

Be Rational

FOMO is one of the main reasons why traders fail at portfolio management. In most cases, emotions drive people to purchase assets at high prices, only to see the prices crash. Additionally, when the market drops 30%, we become anxious because we do not know if the correction will go deeper and become a 70% correction.

It is always a rational planning and investment strategy that leads to success for successful crypto traders. Your total portfolio balance can still grow if you make good investments. Technical analysis eradicates emotions and helps you develop more disciplined trading strategies.

Develop a Strategic Exit Strategy

An exit strategy should be part of every solid plan. Dopamine is released from our brain when our trades succeed, according to science, helping us feel good about our choices. In the absence of an exit strategy, we will be compelled to stay in the position as a feedback loop develops. More gains mean more dopamine, and more dopamine means we’re more likely to stick with the transaction. Then, if the market falls, we hope that it will recover.

In the best-case scenario, the cryptocurrency market recovers. However, there is a worst-case scenario: the correction continues to worsen. When it comes to trade, an experienced trader will think about his or her exit strategy ahead of time. It will be apparent at this point at what price they will close out the trade for a profit, as well as at what price they will close out for a loss.

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