Portfolio management – Dollar Cost Average strategy edition 1 =

Disclaimer

AllesOverCrypto likes to let people speak about their crypto adventure. From this initiative I suggested starting a guest blog series here on the website. It is important to know that I do not work at AllesOverCrypto and that everything you read in this blog is only my personal opinion and this is separate from AOC.

Who am I and what is my experience?

I am Frans Glorie, married and father of a one and a half year old son. In addition to my regular job, I am busy investing in crypto coins. A year ago I started my own crypto strategy through the Iconomi platform.

I mainly invest in projects that contribute to the future of mankind and that are unique in vision or underlying technology. You can think of the so-called ”Layer 1”, these are networks on which projects and companies build their software in order to offer a product to the customer, you can think of Cosmos or Cardano.

In this article you can read more about layer 1’s.

Experience

In my twenties I started buying shares. I worked at the Ministry of Defense at the time and had saved quite a bit of money. My father was always involved in stocks and then helped me learn how to research companies. During a foreign training with the army, my father gave me a folder with all kinds of information about different companies. This is how I took my first steps in learning to do research about who they are and what gives them value.

In 2017 crypto crossed my path and I was immediately sold. The potential of this product was clearly great. Of course, Bitcoin was not the first crypto I invested in, because I thought it was way too expensive at the time, about ten thousand euros.

The first project I bought was (XMR) Monero. A privacy coin that had a lot of potential, but has not become really popular among other investors due to further research by me. Its lack of transparency towards governments makes it interesting for crime and the crowds stay away from it.

After the Monero adventure, I started to delve into the ratio trades between Bitcoin and Ethereum. This is where my passion for crypto really started. It went well and my investments in this had a higher return than what I realized with shares. During this period I learned to do better research and this allowed me to take my crypto knowledge to the next level.

Nowadays I invest in projects that are up and coming or have yet to be registered on a trading platform. These doors have opened for me because I have invested a lot in building a network over the past four years. In this network, knowledge is shared and potential projects are investigated.

What can you expect from this guest blog?

In this blog I am going to take you through a strategy that I often give to starting investors. Whether in crypto or stocks, there are plenty of strategies you can employ to put your money to work. The choice is huge and the choice is yours.

Every week I will make an investment of $500 and every month I will discuss these investments with you through this guest blog series. In this monthly blog I discuss the moment of investing and explain any changes in assets.

The goal of my strategy is to always have as much Bitcoin as possible, so if one of the other coins outperforms Bitcoin, I will sell a portion to eventually increase the Bitcoin stack.

The portfolio

In the past period I have already made a start, below you can see the current portfolio.

 

 

As you can see, we have chosen eight assets. I have put this composition down as an Exchange Traded Fund (ETF), these are funds that are traded on the stock exchange. This means that if the entire market goes up, this compound should outperform Bitcoin alone.

Six of the eight assets are the so-called layer 1s. These are:

  • Ethereum;
  • Cosmos;
  • Solana;
  • Avalanche;
  • Cardano; and
  • soon binance coin.

These are the best performing layer 1’s of the year 2021, I added Chainlink, this is a popular price oracle in the crypto world. A price oracle ensures uniform prices across all crypto assets, so that the price is displayed as accurately as possible.

Many of our layer 1 picks also use Chainlink as an oracle.

Last but not least, my biggest asset is Bitcoin itself. Bitcoin represents about 55% of the portfolio. If another chosen asset rises faster than Bitcoin, I will sell it to buy more Bitcoin. The ultimate goal is to get as much Bitcoin as possible before the next halving.

Purchase moments

Every week I invest €500 in the portfolio. I do this around Mondays, because early in the week the supply of cryptos on the exchange market is relatively low compared to the rest of the week, which I find a favorable time to buy, because the price is often lower after the weekend than before.

If it happens that we have positive price action during the weekend, I will see if there are any important news moments and I try to time my purchase around that.

In the image below you see my last four purchases, indicated with a white arrow.

 

A good example of this where I waited with purchases after Monday is Tuesday , August 9 .

Over the weekend of Sunday, August 7, Bitcoin’s price moved from $22,400 on Sunday to $24,000 on Monday, up a whopping 7.14%. That Wednesday the inflation figures came out in America and I waited until Tuesday to time my purchase. In the end I placed my purchase at around €22600.

We will continue to expand this portfolio in the coming period and prepare it for the next Bitcoin halving in 2024. In this I will discuss my purchase moments with you and share my knowledge and experience with you.

If you want to know more about who I am or what I do, check out my website.

If my investment strategy appeals to you, copy my crypto strategy via the Iconomi platform.

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