Some of you might be able to comprehend these findings from a recent published (July 2020) survey of world bitcoin mining:

1. About 50% of world mining power capacity is currently China related, 14% US
2. median power cost is $.03 per KW
3. median mining cost per BTC is $5.000
4. During the Chinese rainy flood season (summer) the hydroelectric power cost there can go below $.01 and can account for BTC price rises.

Fidelity Center for Applied Technology
https://medium.com/@BitOoda/bitcoin-...h-ebc25f5650bf

Good article.

Go post in the **** thread, looking to maybe get back into some btc soon. Hope it drops back to 105 but I’ll re enter at 11200

And despite having made my ACH transaction last Thursday afternoon and my bank showing it has long been sent there is still nothing on Coinbase Pro or Coinbase almost a week later. What a trash site, I can't believe it's not smoother to buy crypto at this point.

try CashApp next time

Plan ahead and maintain liquidity on an exchange. Or use a wire transfer if you demand same day access.

South Korea’s largest bank to store and manage digital assets https://coingeek.com/south-koreas-la...QGBzfaygpXtNks


Coinbase to Offer Bitcoin-Backed Loans to US Customers https://www.coindesk.com/coinbase-to...XSgLzD4yUrjQ4I

Surprised it hasn't been mentioned. But a company called MicroStrategy bought ~21K Bitcoin in Q2.

They just casually bought 0.1% of the entire supply. Stock price jumped 10%+.

Tooth was right. The barbers aren't coming back to buy $50 of BTC. Now it's publicly traded companies converting hundreds of millions in cash reserves.

On a related note, what a fantastic contrarian indicator case and Tooth are. Both called the bottom on March 16 with "lol at buying here" type posts.

BTC bulls in here are the same as politics posters that drift into BFI. Their understanding and model of money is capped at their personal household level experience:

Bezos has 80 billion, we should take that and make everyone else richer
Companies are 'converting' cash into BTC, everyone will get richer

well got back into some btc at 116 probably start trading again soon. I still like sliver>gold>btc but since im gonna start trading btc btc>silver>gold. Usually when i re enter market, it goes down 5% or so. I bet btc will hit 11300 since i got it at 116. leverage trading at binance lets go

100x already, good trading!

Has hodlbot been discussed in this thread? Wouldn't it make sense to invest in crypto like an index? That way you'd have way less risk and be sure to capture the continuous gains of the top 30 coins by market cap over time.

Or is everyone just trying to time the market and pick winners/losers? That doesn't feel the most optimal strategy to me imo...

You would have more risk and smaller gains than only BTC. If you feel lucky, or have very good reason to think you can time the market, then you can start thinking about dabbling in altcoins.

Hrmm I'm not sure if I can wrap my head around the more risk part, if you chose the HODL30 option it would re-balance your portfolio with the top 30 currencies every month. Wouldn't that be less risk since you have exposure to ~90% of the crypto market?

For example, the indice CCi30 writes on their website:

"Not too surprisingly, the index is a better investment vehicle than Bitcoin itself, and a much safer approach than trying to pick single coins. Investing in the index allows to profit from the unforecastable raise of some cryptocurrencies, while limiting the losses deriving from the fall of others."

Bitcoin can still make up a fair chunk of your portfolio, but why not diversify across the whole crypto sector? Lots of studies have shown that > 90% of active investing funds don't beat a low cost index fund over time, so why would crypto be any different?

You have to apply ponzi-wave mechanics to *all* coins to find the answer. Adding alt coins creates much more risk, these have weak underlying ponzi support:

- Total amount of USD available for ALT liquidity is much less
- BTC will always have its prime advantage, being first. Look at all the hot alts of the past, top 10 coins down to full liquidity death

Buying BTC is the *exact-same-thing* as buying trash alts, you have to be able to time the market and get out correctly. It's just much more forgiving, much harder to have huge losses. The flipside to this is a good BTC pump and dump trade is now capped at around a 10 bagger, likely much less. Good alt trades can still do a lot more.

If you're re-balancing every month and your portfolio only contains the top 30 currencies, would there really be that much added risk though? I don't really like the idea of timing the market, I was hoping to find the most efficient way of realizing the gains of the entire crypto market cap over say the next 10-15 years.

This way you benefit from diversification and never have to worry about timing the market. Who knows wtf is going to happen in the next 10-15 years, but by buying an index or creating one of your own you will guarantee yourself 95-99% of the returns of the entire crypto market cap (which includes Bitcoin).

This is like buying 1 premium stock, and 29 different kinds of animal scat.

Reindexing just has you buying more of the worst performers at the expense of your top performers.

But go ahead, tell me this strategy will work.



At best they track Bitcoin long term and worst they decouple and you lose 99%.

https://woobull.com/crypto-currency-...ising-results/

**** runs downhill

I didn't realize it was such a sensitive subject. In the link you provided, unless I read it wrong, it was comparing the results of BTC vs an index of the top 20 alt coins. I'm not trying to guess if BTC is going to gain or lose in market share vs alt coins. I'm trying to ensure I capture the return of the entire crypto market over the next 10-15 years.

Is that really such a horrendous idea? I don't see how a strategy of holding a proportionate value of the top 30 currencies (including BTC) and re-balancing it monthly fails to do that. Isn't that less risky than just holding BTC no matter what while also guaranteeing yourself the return in value in all of crypto?

Rebalancing every month has to create a ton of fees and transactions to track for tax purposes, with no real guarantee of better performance long term.

Just invest $X/month/week into a few of the top coins based on current % of overall marketcap and manually adjust when you feel like it. Just because it's in the top 30 doesn't mean it isn't a shitcoin (eos, tron I'm looking at you).

Alt coins are made up out of thin air and priced to reflect the overall state of the crypto market when released. This functions to enrich those who create them, and cap their upside.

yeah i bet the fees are quite high on all of the rebalancing. Seems a lot easier to just hold BTC and some ETH to capture 80% of the top 30 coins market cap, and maybe throw a few darts at a 100x if you like to gamble. Because of the way the portfolio calculates the weights you end up holding a large portion of random shitcoins.



If you're putting X% of your networth into crypto, having only 35% of that being in BTC/ETH seems like a mistake

Thanks guys, appreciate the responses. The tax implications make me more hesitant, but the fees didn't seem too outrageous. Something like 0.5% per year. Maybe I'm placing too high of a value on being so diversified.

It comes down to this:

* Altcoins are scams, every single one of them.

* Bitcoin is king

It's like diversifying your Amazon investment together with 29 Theranos'. It doesn't help at all.

You have to decide, do you want the highest EV, do you want to capture the entire crypto results, or do you want less risk? Weighted index of top 30 coins doesn't capture all of crypto, but it will at least weight it heavily away from the absolute worst crap. There is no reason to have any exposure to the bottom 500 coins for example. The whole market is so strongly correlated to BTC that this will still not give much diversification benefits either, it's just more variance for results in the same directions.
Rebalancing monthly seems dangerous too, as you will have to buy into any new hype as it's being hyped up into the top 30, but then when it has crashed out you will have to sell it much lower, to buy into the new hyped up coin, and so on. It sounds like a perpetual money drain from you to the pump'n'dumpers.