In the often chaotic world of cryptocurrency investing, it is not out of place for investors to hold several kinds of crypto assets. Casting a wide net has been recommended as an investment strategy under the tag of diversifying one’s holdings. While this increases your chances of returning a decent profit, it is fraught with the challenge of making operations incredibly complex.
Some cryptocurrencies might only be available on lesser-known decentralized exchanges, forcing investors to skirt through multiple platforms to keep track of their holdings. Despite the hassles, there are some ingenious ways for investors to keep an eye on their cryptocurrency portfolios across different exchanges.
There is the option of a crypto portfolio tracker which has simplified the process with the push of a few buttons. This article will cover the reasons why cryptocurrency portfolio trackers should be part of your trading arsenal, the steps to track your holdings, and the pointers to bear in mind before choosing a cryptocurrency portfolio tracker.
Why Should You Track Your Cryptocurrency Portfolio?
Tracking your cryptocurrency portfolio is important for several reasons. First of all, the volatile nature of cryptocurrencies means prices are always changing by the minute. With assets scattered across different platforms, keeping pace with the price swings would be a handful.
Furthermore, a bird’s eye view of holdings will allow individuals to quickly assess whether or not they are making a profit or a loss across the board. Keeping proper tabs on portfolios is often instrumental in deciding if a particular crypto trading strategy works or not.
Tracking assets also has the benefit of preventing investors from being taken off-guard by sudden, sharp price movement. For those with a preference for diversification, a process for tracking asset prices plays an instrumental role in the success of this strategy as they split their holdings between lower risk and higher risk investments.
Using a Crypto Portfolio Tracker
One of the easiest ways for individuals to keep tabs on their…