Today, accessing the crypto world has become remarkably convenient for most individuals, thanks to computers, portable devices, and smartphones. Through various platforms and exchanges, an average person can swiftly immerse themselves in the crypto sphere, engaging in buying, selling, and swapping digital currencies seamlessly. It's real and accessible to everyone! However, when it comes to serious investment and earning profits, the process is not as straightforward.

Most investments, including crypto, should be done through a conscientious portfolio, which ensures you some gains. But  What Is a Crypto Portfolio?  Generally, a crypto portfolio refers to the sum of several crypto investments. In the following sections, I elaborate on this concept, providing a clearer understanding of some essential aspects and offering insights into the most pertinent crypto portfolio trackers.

Like in traditional portfolio management, where you invest and manage different types of investment, such as stocks, bonds, assets, real estate, and others, in a crypto portfolio, you invest in different cryptocurrencies and related products.

Among all the crypto investment strategies you can implement, creating a diversified portfolio is one of the crucial ones you shouldn’t miss out on. Digital assets bring several benefits and drawbacks, and a crypto portfolio has to balance them.

The value of assets changes all the time. A Crypto portfolio is great for leveraging earnings and losses when investing in different cryptocurrencies.

You're aware that the crypto market is highly volatile, with prices fluctuating based on supply and demand, as well as support and resistance levels. It's essential to note that, akin to a traditional investment portfolio, there are both high and low-risk investments in the crypto space.

A diverse crypto portfolio also distributes the risk of several cryptocurrencies across multiple assets. This way, the total amount of the investment is less affected by market volatility. A well-balanced crypto portfolio, in addition to the above, includes tokens across different market sectors that have different market caps.

Besides, boating a well-balanced crypto portfolio prevents you from putting all your digital money in one basket, which is the worst strategy you can implement.

For a successful future crypto investing process, you should know some crucial concepts. Having a good understanding of these increases the chances of completing successful investments, allowing users to navigate the crypto world smoothly.

Diversification

Diversification is an essential concept when it comes to investing in stocks and bonds. When creating a cryptocurrency portfolio, the story is the same. Diversification refers to becoming more versatile in your crypto investments, managing different types of investments regarding prices, risks, profits, fees, and length.

For example, you can buy a determined asset class – suppose cryptos whose price is above $100– and hold it for several years. But you can also perform day trading and buy and sell cryptos on the same day for a quick but small profit.

Trade Execution

Trade execution refers to the fact of fullfilling buy or sell orders. It happens when you complete an operation related to cryptocurrencies that you have previously selected. Since your entire portfolio will have several asset classes, you need to consider advantages and drawbacks and even other factors, such as the fees, when trading them.

In this sense, another concept you should analyze is Slippage, which refers to the current prices of the crypto asset in comparison to the price that the trader was targeting.

Monitoring

A competent cryptocurrency portfolio tracker should monitor the performance of the entire portfolio continuously and even the performance of every particular asset. Understanding the behavior of the crypto markets and how the price of your crypto changes will let you know when to buy or sell cryptos. This way, you can apply strategies such as HODLing and Day Trading and decide which crypto exchange is better for buying and selling according to the market value.

Rebalancing

Managing crypto portfolios involves continuously increasing and decreasing the number of specific crypto assets in the portfolio. This is because the tokens’ price can experience a surge in a particular period. If this happens, it should be a good idea to allocate more of these cryptos in your portfolio and wait for the price to increase even more.

Portfolio rebalancing requires a right sense of how cryptos change their prices, the risk tolerance of the investor, and the expectations regarding profits and losses. It also involves being brave enough to buy and sell against markets and wait for better prices.

Passive vs Active Management

When managing a concentrated portfolio, you can actually apply two approaches: an active one and a passive one. The first is about you deciding the multiple assets in which you want to invest. This way, you have more control over crypto investing.

A good way of performing passive investment is by buying crypto vouchers . These vouchers will allow you to buy Bitcoin or partial Bitcoin. You should redeem the voucher on cryptovoucher.io in enter the purchased code. The corresponding value in BTC will be added to your account.

Crypto vouchers allow you to access the crypto world by using debit and credit cards and overpassing intermediaries or P2P transactions. Crypto vouchers are a great alternative for novices who want just to bet a little on crypto investments.

In passive investments, on the other hand, you invest in an index or benchmark to participate in the stock market. This way, you invest in several different cryptocurrencies not knowing exactly in which tokens you are investing.

Passive investments address a wide range of the crypto world, considering several types of cryptos and trying to balance their prices and risks. Many of them also include other types of assets, such as one or another fiat currency, stocks and bonds, etcetera.

Most of the time, portfolios are very tough to manage and balance. It’s because they integrate dozens, or even hundreds, of cryptos and other asset classes. This is why most investors trust experienced traders and other specialists in one industry to manage their portfolios. Still, to trade cryptocurrencies and their performance, the best choice is a crypto portfolio tracker.

In short, a crypto portfolio tracker will help you follow the performance of your cryptos by letting you know the price of assets and keeping your private keys safe. Some trackers only work through browsers, while others work through mobile apps.

Having said the above, let’s check out some popular crypto portfolio trackers you should consider when diversifying your portfolio. Additionally, I recommend you check their substantial features and navigate through their websites to make the best decision possible.

Delta

Delta is one of the best token portfolio trackers you can currently find in this volatile market. Crypto investors use Delta not only for tracking cryptos but also to monitor almost everything, such as stocks, fiat currencies, NFTs, and more. Delta is great when managing a balanced portfolio with several tokens and different coins. Delta also allows you to seamlessly sync all your crypto holdings in one place, preventing you from using several apps for the same purpose. Delta also lets you know about trends and strategies to ride market waves, always tracking the general portfolio performance.

CoinStats

CoinStats is a tracker where you can manage and control all your crypto assets and decentralized finances. Thanks to Coinstats, you can connect all your crypto holdings and the entire portfolio to facilitate crypto transactions and investments.

CoinStats features over three hundred wallets and exchanges, among which stand out Binance, MetaMask, and Trust Wallet. CoinStats also manages more than one thousand DeFi protocols and +10 chains to have wide control over your digital money. With CoinStats, you can easily manage a huge amount of crypto, like Bitcoin, Ethereum, Solana, Dogecoin, and other crypto assets.

CoinTracking

CoinTracking is a highly professional crypto portfolio tracker that allows you to track asset allocation and the performance of cryptos and even generate tax reports for your country's jurisdiction. With CoinTracking, you can easily import data from over three hundred exchanges and wallets and put it together for further analysis. This way, you get a complete dashboard with charts, graphs, and easy-to-understand reports. CoinTracking also allows you to generate audits, import operations, use Excel, PDF, and XML documents, and even get professional support to fulfill regulations and tax requirements.

Coinbase

Coinbase is a large crypto wallet and one of the best platforms where to track your crypto assets. Beyond allowing you to buy, sell, and swap cryptos, thanks to Coinbase, you can conduct your own research about how markets are functioning and the price of digital assets. This way, you can be aware of the current crypto market cap, risks, surges, and trends in crypto sectors.

Coinbase is a really easy-to-use platform since you can use it directly from the application on your smartphone. The app will show you how the most relevant cryptos behave and the overall performance of indexes and benchmarks. Moreover, Coinbase allows you to create your portfolio from scratch, managing risk and other factors easily and in a single spot.

Last but not least, let’s delve into three crucial features that every excellent crypto portfolio should have to navigate crypto projects.

Integration with Other Financial Products and Wallets

A portfolio is not a fixed structure containing multiple cryptos or other assets. A portfolio is an always-changing core where you can connect several investments and crypto accounts for better integration. Therefore, the connection and integration with other financial institutions and products is a must-have you need to check out.

Keep in mind that not all the crypto trackers work with the same crypto feeds, and many of them do not have the technology to integrate all the cryptocurrency investments.

As a good starting point, you should check if the tracker can work with multiple exchanges and integrate the tools you consider relevant to create an effective strategy. For example, if you use several crypto wallets and swap cryptos in several cryptocurrency exchanges, then the tracker must be capable of working with these options.

The Level of Security

Most crypto enthusiasts go to crypto due to its privacy and high level of security. However, not all crypto portfolio trackers have the same security measures and ensure that your data will remain secret and safe.

Since the blockchain network is decentralized and not regulated by institutions, following the data and transaction history in reverse is almost impossible.

Crypto trackers have a high responsibility to keep threats away from your crypto accounts. This way, they need to be careful when connecting your account to exchanges, platforms, and other actors that can be a bit risky and malicious.

In a nutshell, you should check the security measures of the tracker, whether it requires you to insert a feed phrase or similar, a two-factor authentication, or any other security key.

Investment Automation

As I mentioned in a previous section, there are two types of investments: active and passive. The latter is about letting the index decide on your behalf the proper crypto to invest in and keeping a good balance between gaining and losing. Something similar happens when you invest through an AI approach, where the virtual intelligence will decide the right investments for you according to your risk profile, the amount you have to invest, prices drop, price alerts, and other relevant market factors.

A good tracker should include investment automation by considering the above. This way, you can avoid making informed decisions and even complete your first investment without doing anything.

Investment automation is perfect for neophytes and novices who are starting in the crypto world before investing in the largest cryptocurrencies. Hence, users can avoid a significant loss and get higher returns in the first stages of crypto investments.

Investing in cryptocurrencies at regular intervals requires you to manage a good crypto portfolio and, of course, a competent tracker that helps you diversify and control your investments. A platform of this nature will provide you with a clear advantage over users who do not use software to define their assets and track their behavior.

Besides, having the right knowledge about the liquidity of your digital finances, their current performance, the hot and cold storage options into which you can delve, and the right crypto for your profile will open the door to excellent crypto profits in the future.

Gaining this knowledge includes navigating through our RoyalCDKeys blog. Here, we’re continuously sharing crucial articles about the crypto space. Our website is determined to give the best lessons and tips about the rising world that is changing decentralized economies forever.