In this episode we will be reviewing the HODLfolio and then we will dive into our first pick in it, which is Bitcoin.
HODLfolio Update
Here is the status of the portfolio. Remembre that we started at $1k. Today our portfolio is valued at $954.
No big changes since last update, XRB starts to recover a bit from the hit it took after Bitgrail's hack. IOTA and NEO ar a bit down since the inception of the HODLfolio but the whole market is in a slight downtrend that should be corrected in the log run. No big adjustments needed in the portfolio at te current time.
Top tier: Bitcoin
We are going to talk about why Bitcoin is our top hold in the portfolio. There are a few reasons that can be summarized as follows:
- First mover advantage. When talking crypto, the brand Bitcoin is the first one that comes to mind. This has a lot of implications. It has been around for a long time, and people going into this world and investing in crypto will usually get information on bitcoin. This means that, unless a lot of things change, Bitcoin will be a big representative in the cryptocurrency world.
- Trading pairs. Currently, almost all altcoins trade against BTC in the major exchanges. This means that BTC is needed if you want to invest in altcoins, creating an actual market need for the coin.
- Development community. There is a lot of developers focusing on making Bitcoin better and trying to reduce the flaws it may have (transaction speed, privacy...). This paints a bright future for the coin and enables it to keep evolving in the following years.
- Limited supply. Bitcoin's supply is finite and as it becomes more and more mainstream, people wanting to use it or own it will compete against each other with the low supply, increasing its price.
These are some of the reasons why Bitcoin has a good opportunity to be a good long-term investment, and why it has the largest percentage in our portfolio.
However, in order to diversify and take into account the flaws Bitcoin has, we are also invested in other coins in our portfolio. Keep in touch and subscribe, we will be talking about ETH and NEO in future posts!
Keep HODLing!