Investor Kevin O’Leary, who is also famous in the cryptocurrency space, talked about his new investment strategy for some altcoins. He states that he plans to invest most cryptocurrencies in Bitcoin (BTC). Here are the details…
Kevin O’Leary will sell some cryptocurrencies
Shark Tank investor Kevin O’Leary drew attention to the current state of cryptocurrencies in the bear market. He stated that due to the bearish market, he developed a new investment strategy for Bitcoin and altcoins. In a new interview with the Stansberry Research platform, O’Leary outlined his new strategy step-by-step. As we reported on Kriptokoin.com, many cryptocurrency investors are currently “underwater”, that is, at a loss. O’Leary also plans to sell his currently underwater cryptocurrencies and invest most of those funds in Bitcoin. Also, O’Leary points to the IRS rules that we reported yesterday as Cryptokoin.com. O’Leary’s comments are as follows:
So, I do what many other traders do. I’m entering November with over 34 different positions, many of them underwater. Naturally, what I’m going to do is, I’ll have to trade. Now the IRS and other regulators around the world are now looking at crypto as a security in terms of tax benefits. So I will trade, sell some of the projects that lost value 40, 50, 60, 70, 80, 90 percent. Next, I’ll basically buy what I think of as the grandparent index – Bitcoin.
O’Leary can buy all 3 altcoins
O’Leary also says he can add some more Ethereum (ETH) to his crypto investment portfolio. That is, he says, crypto projects with the largest market caps in a bear market are the safest bets. It also predicts a price correlation between ETH scaling solution Polygon (MATIC) and ETH layer-1 competitor Solana (SOL). The billionaire investor uses the following expressions:
So I can spend the tax season owning more Bitcoins. I will do so. Maybe I’ll get some more Ethereum. But basically, those with large market caps are the ones that matter. So if you’re going to make a basket to keep for the rest of the year; I would say it will consist of Bitcoin, Ethereum, Polygon and Solana.”
O’Leary thinks they will be indexed together, noting that they have great market value. At the time of writing, ETH has a market cap of $155.3 billion, Solana’s is $10 billion, and Polygon’s is $6.04 billion. He says none of them “will leave the herd.” O’Leary points out that they all trade together. But he argues that if you’re going to buy only one cryptocurrency, it should be Bitcoin. Still, he points out that everything else is traded alongside BTC. The market cap of Bitcoin is currently at the level of 365 billion dollars.
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