Crypto Daily: Top-5 Portfolio Rebalanced For The First Time In 2022

Jan 20, 2022
12:01
2 min reading

Choise.com team

Today, we continue to talk about our experiment with rebalancing our top-5 crypto portfolio. Last week, it slightly increased due to the general rise of the market. However, over the past 7 days, the downtrend repeated itself.

Let’s take a look at how this affected the cryptocurrencies in our portfolio:

As can be seen from the table, over the week, our portfolio has sunk by 1.5%. So far, the total value of all assets still exceeds the $50,000 milestone. However, it is worth noting that our portfolio has declined 8 times in the last 10 weeks, which indicates an ongoing bear market. And this time, most of the cryptocurrencies in our portfolio showed negative dynamics again.

The only coin that experienced growth was CRPT. The token value increased by 15% in 7 days. Moreover, this cryptocurrency has been the best performing asset of our portfolio for the third time in a row. The CRPT chart managed to break through the important level of $0.14 and fix above it. As a result, the price left one-and-a-half month’s sideways movement and, most likely, will keep moving up. It looks like the price is preparing for a new cycle of growth, during which the CRPT value may reach $0.25 – $0.30.

Among other cryptocurrencies, LTC suffered the least. The asset price fell by 1% and consolidated below $140. There were no significant changes on the Litecoin chart, which is still moving in a wide sideways channel. The nearest important minimum is around $120, meaning that if the price fails to reverse and falls below this mark, LTC may drop to $100 within one day.

Bitcoin continued to decline and lost 4% of its value. The $42,000 level is important as the asset has been heading right there in the past few days. Meanwhile, the market is empty and no one can push the price back up. So, we are still waiting for the final stage of the decline, during which Bitcoin will reach $37,000.

XRP has plummeted almost 6% and its chart looks rather depressing. As the price volatility has significantly decreased in recent weeks and the trading volume keeps declining, the negative sentiment is being strengthened among buyers and can trigger the price to drop to $0.60.

The list of the assets traded in red is led by Ethereum for the second week in a row. This week, the most popular altcoin decreased by 6.79%. Yesterday, we mentioned that this asset is now moving in a downward channel and its chart is settling in the key $3,000 – $3,200 zone. If buyers continue to be weak, we may see ETH plunging to $2,700 in the near future.

Our portfolio assets keep moving in different directions, judging by CRPT, which is going against the general decline in the market. As a result, the cryptocurrencies went out of acceptable limits and, therefore, we will rebalance the portfolio today by selling part of the CRPT gains and using the released funds to buy all other cryptocurrencies:

The market situation remains difficult as most coins are experiencing strong downward momentum. Buyers are in no hurry to enter the market, which creates dangerous conditions for a decline. That is why now it is best to stay out of the market and wait for more understandable patterns to appear.