Is it a good time to invest in cryptocurrency related projects?
Every since the collapse of Bitcoin and thousands of cryptocurrency projects, we have been asked by many individuals whether now is the time to start getting in.
Before answering this question you should be aware of the following:
- We are in a consolidation period right now.
Many individuals have lost money and have no interest in re-investing.
- Calling the bottom (or top) is impossible.
We have a lot of untested resistance above us so a bull-run will not be happening anytime soon.
- Many alt-coins will NEVER recover.
Unless the alt-coin has some type of legit staking incentive there will unlikely be any upside. A lot of volume in the space is fake and that is what caused rapid price spikes earlier this year.
We can now answer our million dollar question. Is it a good time to get into the crypto market?
It could be, but we should not expect an immediate return.
If you are looking to throw some money into the space, right now could be the time… But make sure you are investing in something that has great innovation and growth in its future — be very skeptical of most tokens.
One of the main reasons why Dreamscape Capital has been incredibly successful during the cryptocurrency downtrend is that we strategically limited our exposure in the space. Portfolio diversification does not help you in a bearish market! Many individuals believe that buying into several different projects help minimize their risk; however, this is NOT the case when the entire market takes a dive. The majority of the Dreamscape Capital profits were generated with leveraged shorting and constant profit taking in small increments. Fortunately, high leveraged volatility trading accounts for 50% of the Dreamscape portfolio and when these large swings occur, we benefit from them in both directions.