Overdiversifying to catch the next 100x coin can actually be counterproductive.

It is easy to get lost in the sea of coins and tokens that are offered in the market today. Whichever you may pick will seem like it has endless potential but if you take a different perspective you will realize that most of us are over-diversified for a lot of wrong reasons.

If I bought BTC at $10/$100/$1k I would have been a millionaire today

Highly unlikely. Just like most of us, you would have sold at a 20-30x profit and then proceed to destroy your mental health because you had paper hands.

I'll just put $50 in this shitcoin, if it goes to a dollar I'll be a billionaire

I can promise you that as soon (if) it hits 10x you will be thinking about selling and you would probably do so. Having conviction is the hardest part of crypto investing. Only a few can resist the temptation.

Converting long-term investments to invest in short-term plays is a very bad idea

The most common mistake we are prone to make is to sell a small chunk of our long-term holdings to invest in a hot new project. This is almost always driven by fear of missing out on 100x gains when in reality you will just end up with less money in the long term. Just ask the people that sold their ETH for ICO coins in 2018. Only a handful of them are hardly worth the initial investment today.

Diversifying is completely fine but without clear boundaries, you will end up over diversifying and your investment will be all over the place. From my own experience, portfolio performance is best when you have fewer coins on the list. Yes, you are exposed to fewer opportunities but are they really worth it?

Rational thinking can be a game-changer when markets pick up the pace. Consider using it in these volatile times. Maybe you won't be making the same mistakes as those before you.