Investment strategy - Index Funds! Week 4 - 38% more than BTC holding!

in #money7 years ago

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“Don't look for the needle in the haystack. Just buy the haystack!” – John C. Bogle



Visit my first post on Index Funds for a detailed description of the strategies



Results from Week 4

NOTE: Coin values and market cap were obtained from CoinMarketCap


First, let’s look at last week values

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Alt-coin prices are based on their BTC value

Bitcoin has increased quite nice by more than 5%. On the alt-coins, There was a big increase in Ethereum, Bitcoin Cash, Dash, Monero and Neo.

Bitcoin cash rose 40%! This is really good for short trade. However, be careful if you have invested heavily in this coin because this growth seems too steep and a price correction will likely occur.

On the losing side we seen Iota going down by almost 7% returning to position 9 in the top 10 alt-coins. Nem and Ripple also wend down a bit. The rest of the coins saw an increase.


How about the investment?

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I added $100 to the investment as this is the last week of the month. Market cap increased by 30 billion dollars and BTC dominance was reduced by 3% since last week. All the alt-coins invested still hold more than 1% market cap (BTC not included)

Strategy 2 is the winner of this week!

an increment of 58% investment in just one month!

Strategy 3 came in second place with an increment of 56% from the original investment. And BTC holding strategy increased our investment by 14% in one month



Thumbnail image source (modified by me)
Flickr

DISCLAIMER: These investment strategies are only for educational, experiment and research purposes. I am not a financial advisor and always with high volatile investments, there is a high risk involved. Trade responsibly and never invest money you are not comfortable with losing.


What do you think of the strategies? Also, do you think the same Altcoins will keep on top 10 after next week or another coin will take its place. Comment and let me know!

Thank you so much, I know this was a long post. I hope it was useful to you. Happy investments and see you next week!
Best regards!

Sort:  

Sort of arbitrary.. Do the same thing over 6 months and come back to us...
I think index funds are a good part of one's portfolio, don't get me wrong. But, BTC and some altcoins (as you stated in regards to BCH) have had had massive gains in comparison to any index fund. Of course, with the potential of massive gains, comes massive losses. Depends how you feel about the tech and the ideals as to how you will speculate on that..

Indeed you are right, it is completely arbitrary. The high volatility makes it harder to allocate different percentages on the coins. That is why I decided to just split over the top ones and see what happens.

Yeah, not a detraction. Still very interesting. Diversified investments is important and this is a snapshot of why that is. Good post.

Thanks. I want to see what happens when the market cap goes down a bit between weeks. Or when one of the top coins loses the 1% min market cap. Then it will get interesting.

It's interesting. We hear BTC oft referred to as a potential store of wealth. While I do not necessarily disagree (speculatively), it's volatility still makes it to be, potentially, just that, a volatile investment for better or worse. I see index funds as a better (or at least "safer") store of wealth.


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