You already have your cryptos bought and held
Now comes the hardest part!! ☺️
Don't obsess over the price
In this article, I'll show you how to track your portfolio in a healthy and organized way
Why you shouldn't check the price every hour?
Because it generates anxiety
Because it leads you to make emotional bad decisions
Because cryptos are always pumping and dumping
Checking the price every hour won't change the outcome
It's only going to change your mood
How often to check your portfolio
If you're in for the long haul
Check once a month or every three months
You don't need any more.
If you are an active trader
You check daily, but with discipline.
If you're just starting out, check once a week.
Choose a fixed day, for example, Saturday or Sunday.
And only on that day do you check how your wallet is doing.
What tools to use for tracking
Tool 1 The Binance app itself
There you can see your Spot account balance
But you only see what you have in Binance, not what you have in external wallets.
Tool 2 CoinGecko or CoinMarketCap
They have a portfolio section
You manually enter what you bought and at what price
The app automatically calculates your profit or loss
Tool 3 Tracking Applications
Delta is the most popular
CoinStats is also good
Koinly is also useful for taxes
They connect to exchanges and wallets automatically.
But if you don't want to connect, you can enter everything manually.
Tool 4: Google Sheets or Excel spreadsheet
The simplest and risk-free way to connect anything
Ideal for beginners
How to create a simple tracking sheet?
Columns you need
Purchased currency
Purchase date
Quantity purchased
Purchase price per unit
Commission paid
Total invested
Current price
Current value
Profit or loss
Percentage of performance
Example
Bitcoin
You bought it on May 15th
0.001 BTC
Purchase price: $60,000
Commission $1
Total invested: $61
Current price $58,000
Current value $58
Lost 3 dollars
Yield minus 5 percent
It's that simple
What data should you record besides the price?
Register your wallet address if you have one
Record where you keep your seed phrase without putting the phrase itself, just the location 😡
Record the network you used to withdraw, for example BSC or Ethereum
Record the date of your last rebalancing
The more organized you are, the less chance you have of getting lost.
Common mistake: not noting the purchase price
After months you don't remember how much you bought it for
You don't know if you're winning or losing.
You cannot calculate taxes
Write everything down, even if it's in a physical notebook.
How can you tell if your wallet is doing well without going crazy?
Compare to the overall market
If Bitcoin falls 10 percent and your wallet falls 8 percent, you're outperforming the market.
If Bitcoin rose 20 percent and your wallet rose 15 percent, you're worse off.
But this is normal when you have other currencies besides Bitcoin.
The important thing is the long-term trend
Don't worry about the week, worry about the year.
What alerts should you set?
Price alert on Binance
You can set alerts to notify you when Bitcoin reaches a certain price.
You don't need to be looking all day
Important news alert
Events from the Fed or CPI can move the market
You set an alarm the day before.
Alert to remind you to check your wallet
Set an alarm on your phone for Saturday at 10 am
That day you check, period.
What to do when you check your wallet?
Step 1 Open your tracking sheet
Step 2 Update current prices
Step 3: See how much you gained or lost since the last review
Step 4 Compare with the general market
Step 5 You decide if you need to rebalance
Step 6: Note any changes you make
Step 7: Close the sheet and don't look at it again until next week.
Don't make hasty decisions
If you see a large loss, don't sell immediately.
Ask yourself if your investment thesis is still valid.
If the answer is yes, stay
If the answer is no, consider selling, but do so calmly.
Practical example of a monthly review
It's June 15th
You open your tracking sheet
You see that Bitcoin fell 12 percent this month
You see that Ethereum is down 8 percent
Your total portfolio down 10 percent
The overall market is down 11 percent
You're doing a little better than the market.
You decide not to touch anything
You check it again on July 15th
This is how patient investing works
What apps do professionals use?
TradingView for advanced charts
CoinGecko for prices and market capitalization
Glassnode for data on chain
But to get started with CoinGecko, a spreadsheet is all you need.
You don't need paid tools at the beginning.
When should we move on to more advanced tools?
When your wallet exceeds $5,000
When will you start active trading?
When you need tax reports
Until then, simple is better.
Tips to avoid going crazy
Don't look at the price before going to sleep
Don't operate when you're angry or sad
Don't compare your wallet to others'
Everyone has their own time, their own risks, and their own luck.
Your competition is against yourself, not against Elon Musk
Remember that cryptocurrencies are volatile.
A 30 percent drop is normal
A 50 percent increase is also normal
Don't be scared or get too excited
Emotional stability is your greatest advantage.
One-line summary
Review it once a week, write everything down, and don't make hasty decisions.
Do you already have a tracking system or are you still constantly checking the price? Tell me in the comments.
If you liked it, give it a like and share it.
"You don't need to be rich to start, you just need to start to stop being poor."
"All your contributions, ideas, and observations are important, taken into account, and encourage new articles. Greetings, success, and blessings." Randall1762.
