Welcome back,
In today's blog I will talk about why investing in low cap coins is not wrong and how you should really play along the low cap coins for avoiding any harm to yourself. I am writing this blog with my personal experience, but this is not a financial advice.
Suppose you have $1000 total value to invest, from these $1000 you can select 5 risky projects with low market cap and then spread 1% each in each of those 5 projects that is $10 each in 5 different low cap projects that makes $50 in total.
I am personally investing in few low cap coins like MARSH, WELSH, AIEPK, GHX, and more. I have put a small percent of my portfolio in these coins and majority of the funds are in good projects like Arbitrum, Hive, GMX, DOT, etc.
So, when you decide to put small percent like 1% of your portfolio you simply play safe with your funds. There is a term highly risky and rewarding at the same time, but these are two faces that can be like two poles of magnet.
These small cap coins can go 50-100X and that means you play with 1% of your portfolio to make it 50-100% of your total portfolio in case of success and in case of failure you may lose that 1% or it may become 0.5% or any random number as well.
Don't get excited about 50-100X gain potential by putting 1000 dollars as that will put your portfolio at huge risk. You might lose everything in hope to make $100k, it is all about luck most of the time with these low cap coins.
So, with that I think I have shared how to invest money in low cap coins with least risk. Remember to spread your funds in three parts A, B, C such that A is going to high cap coins followed by mid-caps and then low cap.
Thank You and Happy trading everyone.
