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How to Select Altcoins for Your Portfolio
( 3 things to research before investing)
With thousands of altcoins to choose from it seems that there might be a large opportunity for growth in your portfolio aside from Bitcoin. Shiba Inu was recently launched on Coinbase, to an immense amount of both negative and positive hype, nearly tripling almost instantly, and remaining around that figure. There are several other profitable coins out there on market, but also plenty of duds.
So how can you tell which ones have potential, which are scams, and which may disappear?
The purpose
Most coins have a purpose of some sort. Perhaps they are trying to fill a gap in the market with ‘smart accounts.’ Perhaps they offer sustainable crypto or are concerned with NFTs (Non-fungible tokens) with digital art. Whatever their purpose, you need to identify what it is and whether you feel there is an actual market for it. Are there many other cryptos offering to do this? Is this a trend? Is the market already oversaturated? Do you think it is a useful coin? When you have answered these, you need to examine the company, its size, and reputation and assess whether you believe it has the solutions and means to fulfill those needs.
