Renowned cryptocurrency analyst Michaël van de Poppe recently offered valuable advice to both novice and seasoned investors on creating an ideal crypto portfolio. Van de Poppe’s guidance focused on the strategic allocation of assets within a $1,000 diverse cryptocurrency portfolio, which piqued the interest of many in the crypto space.
Allocation Strategy for Maximum Gains
In his approach, Van de Poppe advised investing in a combination of high and low volume altcoins, suggesting a selection of eight to ten altcoins or a maximum of four per segment, with half of these being from high volume and the other half from low volume markets. The strategy revolves around choosing two large-cap altcoins from the top five of a segment and complementing them with two smaller-cap altcoins from outside this circle.
Van de Poppe recommends investors to allocate 15-20% of their portfolio to large-cap cryptocurrencies and 5-10% to smaller altcoins, with an optional 1-3% assigned to micro-cap coins to complete the 100% portfolio distribution.
Van de Poppe’s Key Portfolio Picks
Van de Poppe outlined two distinct scenarios for portfolio creation. In the first scenario, he opted for DePIN (decentralized physical infrastructure networks) and layer-2 altcoins as the primary categories. He selected Filecoin and Akash Network, dedicating 15% to each, and paired them with either Ocean Protocol or IOTA and Golem or IoTeX with a 10% allocation for the lesser-known projects.
For the layer-2 category, he chose Polygon and Arbitrum, allocating 15% to each, and picked SKALE and Cartesi as the smaller altcoin investments, assigning 10% to both. In the second scenario, Van de Poppe’s selections spanned different sectors, including NFT and gaming tokens. He favored Sandbox and Axie Infinity with a 20% share each in the Metaverse category, and for the NFT sector, he allocated 20% to Internet Computer and ImmutableX, while giving 5% to Decentraland and ApeCoin.