Owning A Little Of A Lot Or A Lot Of A Little
When it comes to investment, a lot of us always want to get the best out of everything we do. Reasons why lots of people miss out on great investment opportunities is because they are waiting for the best time to get maximum entry point. You must have heard about the waiting for the dip moment, right? This is because they are waiting for the time to make sure they have a lot of it. I didn’t get into Bitcoin because I felt it was too late to get into it, I felt I lost the opportunity, that is me not wanting to own a little of a lot. Bitcoin has a very huge market capitalisation, its supply is extremely limited and the price is high. If I buy $100 worth of bitcoin, it will take bitcoin a 100% profit move to grow my $100 to $200.
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Meanwhile I can achieve same profit and more with a low cap coin. With a low cap coin you can have a lot from a little, because the value is very small. A low cap coin with a market cap of of $2 Million can easily go from $2 Million to $4 Million, to $10 Million and $20 Million as the case may be. Giving you a 1,000% profit is possible with a low cap coin right now but almost not so possible to achieve with a big cap coin like bitcoin. For bitcoin to give you a 1,000% profit the price of bitcoin needs to jump from $29k to $290k giving bitcoin a $5 Trillion market cap.
Owning a lot of a little has its advantage, it’s advantage is that the risk is too high so is the reward, but doesn’t guarantee security and safety of your asset. The memecoin investors will tell you this. Lots of people have made 10X and 100X through trading memecoins but we are yet to see such in some real utility coins like that of Hive. But if you buy bitcoin today, you might not see that 10X or 100X pump you are seeing on memecoins but at least your money or value of your asset is quite safe compared to that of memecoin investment. Bitcoin investment has grown over time, but memecoins fade, within a short time, their trend die down and they lose their value.
I believe that this can be applied on other areas of investment , probably real estate.some people would prefer to invest in real estates found in the city or urban areas rather than in a remote area or rural area. Some people can spend huge amount of money on a two bedroom condo in a city, money big enough to buy a mansion in a remote place or a rural area. Its just a matter of preference and choice.
Posted Using LeoFinance Alpha