The $10,000 Experiment Revisited
Quarter 2 is upon us, so how are we doing?
It’s hard to believe, but Q2 of 2022 has begun.
We passed this first quarter of the year in a flash, though for me it felt like a series of incredibly long days, and that’s likely tied to my perception of geopolitical events. Regardless, we’re in Q2 now.
And back in January, I proposed an experiment. I took a fictional $10,000 and divided it between the largest cryptocurrencies in the market in a bid to calculated returns over the course of the year. I promised I’d check in on the basket four times this year.
Remember, I decided divide up our hypothetical $10,000 this way:
$2,500 to Bitcoin ($BTC) at $46,498.52
$500 to Cardano ($ADA) at $1.33
$500 to Polygon ($MATIC) at $2.46
$3,000 to Ethereum ($ETH) at $3,822.78
$1500 to Algorand ($ALGO) at $1.73
$1,000 to Solana ($SOL) at $170.73
$1,000 to Polkadot (Dot) at $29.89
So how are we doing ?
Not so well. Fact is—all of these positions are down, and some are down significantly. If you’ve followed this newsletter, or simply the crypto charts themselves, then you already know that we are firmly in a bear market and have been since early November 2021. You’ll also recall that I rebalanced my real portfolio in early February 2022, taking on more stable coin, and less risk. I also sold out of several meme coins.
It hasn’t been an easy couple of weeks for crypto, that’s for sure.
So where are we trading now? Here’s a look (give or take a few dollars either way):
Bitcoin: $46,465
Cardano: $1.18
Polygon: $1.68
Ethereum: $3,498
Algorand: $.92
Solana: $137
Polkadot: $23
Which means the $10,000 portfolio has significant losses. You can see it for yourself. I wouldn’t want to sell into this downturn.
And… we aren’t. We’re holding this basket of faux cryptos for the time being, and we’ll see how Q2, 3, and 4 shake out.
What do you think will happen? Are you buying or selling?
Plus…
Have you ever considered adding crypto to your retirement plan? It may be coming to a 401K near you…
The Crypto Connection is for entertainment purposes only and is not meant to be financial advice. Please do your own research before investing in any asset class. Sara Celi is not a financial advisor, and holds several cryptocurrencies. To purchase her books on Amazon, please click here.