Today is Binance Equal Weight Index rebalancing day
So let’s talk about rebalancing.
Let me first explain it to students who don’t know and then balance it.
Binance’s equal-weighted index is to buy 10% of each of the top 10 coins by market capitalization.
There will be various fluctuations in currency prices during the month
Every month until time
Will sell the coins that account for more than 10% of the planned market value and buy the coins that account for less than 10%
In other words, it is built-in to buy low and sell high.
It is very consistent with the characteristics of Shanzhai rotation.
Like this time, my Xrp sol sold for almost 300 US dollars.
But it’s not all good
There is also a risk of selling out
Like sol, the original average price was over 20, but it was sold to over 60.
But I think it's acceptable
There is no perfect strategy
Generally speaking
It is quite common for a certain copycat to earn 10% more than others.
So in the long run, I think this index can be used to hoard coins.
The only risk is that the crypto industry fails
Or just increase Bitcoin
The other 90% are dragging down. Naturally, such performance is not good-looking.
Before investing, understand the risks and theories first
Once you invest, you must continue without interruption. Invest until you run out of money.
We must hold on tight. People’s investment behavior is also a kind of risk.
Continue to hoard coins
keep in faith
Continuing Buy Index
Waiting for the violent bull market to come, there will be rewards.
