The host of Coin Bureau, nicknamed Guy, a crypto trader and analyst, explains what has changed by updating altcoin projects in his personal portfolio. The analyst reveals his returns in 2021 and his strategy in 2022.
Trader’s 2021 crypto strategies and returns
Nearly 80% of the trader’s total crypto assets include Bitcoin (BTC), leading altcoin Ethereum (ETH), Cardano (ADA), Polkadot (DOT) and Chainlink (LINK). The remaining twenty percent is made up of Yearn.Finance (YFI), Injective Protocol (INJ), Avalanche (AVAX) Stellar (XLM), Cosmos Network (ATOM) and Dodo (DODO).
Guy made significant profits in almost every cryptocurrency by mid-May after ETH hit $4,000 and DOT hit $40. Also and while researching it took some Solana (SOL) from the bottom. By the end of May, USDC comprised more than 13% of the analyst’s portfolio. The analyst chose USDC because he believed it was the most reliable stablecoin on the market.
Then, in early June, the Bitcoin and altcoin market looked pretty bad due to market manipulation. It was time to buy the dip, so after selling XLM he doubled the SOL holding using the USDC stack and added it to his BTC and ETH holdings. He sold XLM as he had been holding it for a while, so it was in good shape and Stellar wasn’t getting nearly as much adoption as he’d hoped.
By mid-June, it was feeling pretty bearish, so it took a little more profit and closed DODO. At the end of June, USDC once again made up more than 13 percent of the trader’s portfolio, but it started to feel bullish as July approached, as Twitter CEO Jack Dorsey announced a virtual event about Bitcoin for institutions called ‘The B Word’, which will take place at the end of July.
It then began allocating it to its current holdings by buying more BTC, ETH, SOL and buying PAX Gold (PAXG), a move partially funded by the sale of AVAX. In mid-August Guy realized he was wrong about the altcoin project Polygon and took some MATIC, his first thesis was other Ethereum scaling solutions. At the end of August, it added Arweave (AR) to its portfolio.
Cardano (ADA) took to the skies in early September, and then hit over $3 thanks to the second hard fork on September 12 that brought smart contract functionality to Cardano. Meanwhile, it has made significant gains from ADA knowing that the hype will eventually drop and this will present an excellent opportunity to buy back now. This was the right decision because the price of ADA has been falling ever since. It added Helium (HNT) to its portfolio in early October. Earlier in November, the trader added Fantom (FTM) to his portfolio, as Fantom was built by Andre Cronier, creator of Yearn.Finance and arguably one of the best developers in cryptocurrency.
We saw a major crash in mid-November and the trader took this as an opportunity to dump USDC profits on ETH, BTC and DOT. My portfolio remained unchanged until the end of November, and that was because the crypto market was unsure what to do next. He bought the bottom stock in December and, as the remaining UST was not enough, he turned to BTC, ETH, MATIC, FTM and ATOM, increasing ATOM to about 4.5% of the total crypto portfolio. He shares the approximate proportional distribution of the trader’s cryptocurrency portfolio:
ETH 31%, BTC 21.5%, SOL 13%, DOT 9%, ATOM 4%, HNT 3% , PAXG 3%, FTM 2.5%, UST 2%, RUNE 2%, ADA 2%, MATIC, 2%, USDC, 1.5%, INJ 1%, AR 1%, LINK 1%
So, the trader says that he has achieved a return of about 311%, or 4x, when it comes to his total ROI since the beginning of the year.
Analyst’s 2022 altcoin strategies
The analyst has been very interested in Non Fungible Tokens (NFTs) lately. This includes crypto niches related to NFTs such as crypto games and metaverse. As such, his plan in 2022 is to start taking crypto projects that provide infrastructure for NFTs and related niches beyond smart contract cryptocurrency blockchains like Ethereum for two reasons. The analyst makes the following assessment:
First, NFTs will play a critical role in the future of cryptocurrencies, especially when it comes to things like decentralization.
The analyst gives investors a few tips on putting together your own cryptocurrency portfolio. The first tip is to be simple. “Crypto is a full-time job,” the analyst says, adding that cryptos are part of his personal portfolio, even if he has trouble keeping track of as many as 20 cryptocurrencies.
The second tip is to have a timeline in mind. For this, the analyst says, “Ask yourself if you are short-term or long-term in crypto.” And the final tip is to set realistic expectations in a bull market. In this context, it is extremely difficult, if not impossible, to find coins and tokens for BTC, ETH and a few other major cryptocurrencies that will be 100x by March next year. Accordingly, the analyst says: