The next crypto rally can make you life-changing money—or leave you watching from the sidelines. The difference often comes down to preparation.
What follows is a comprehensive checklist that covers everything you need to be ready for the next big move. Don’t feel overwhelmed if you can’t check every box—few can. Instead, use this as a guide to identify areas where you can improve your setup. The more boxes you can check, the better positioned you’ll be.
If you want to learn my approach, check out the low-risk system I used to 20X my money in 16 months.
Let’s dive into what you need to be rally-ready.
💼 Portfolio Structure
Your portfolio needs to be ready before the rally starts. Here’s what to check:
Core Holdings
Start with Bitcoin—it’s your foundation. I typically recommend 40-60% in BTC, depending on market conditions. Then add established altcoins like Ethereum. Finally, allocate to smaller altcoins based on their sectors (DeFi, Gaming, L1s, etc.). Remember: a balanced portfolio lets you sleep at night.
Note: how much you should keep in Bitcoin depends on The Altcoin Cycle. More on that in a bit.
Altcoin Selection
Your altcoins should be solving real problems, not just chasing hype. Check their development activity on GitHub. Look at their partnerships and product updates. Learn to analyze fundamentals properly. If a coin hasn’t had meaningful updates in months, your coin might be dead and it’s time to reconsider that position.
Position Sizing
Never bet the farm on a single coin. I keep most altcoin positions under 8% of my portfolio. Scale position sizes based on risk—smaller allocations for higher-risk plays. If a position grows too large, don’t be afraid to take profits and rebalance.
🌊 The Crypto Cycles
Understanding market cycles is the difference between buying the top and catching the bottom. Here are two critical checkpoints that will determine your success:
The Altcoin Cycle
You need to know whether we’re in Bitcoin season or altcoin season. This single insight can double or triple your returns. Here’s how to check:
- Bitcoin Dominance (BTC.D): When Bitcoin dominance rises, altcoins bleed relative to BTC. When it falls, altcoins rally. Pull up the BTC.D chart on TradingView and look at the trend. If dominance is falling and altcoins are outperforming Bitcoin, we might be entering, or in the altcoin season.
- Others Dominance (OTHERS.D): This tracks the market share of smaller altcoins relative to the total crypto market. When OTHERS.D starts rising, it signals the start of an altcoin rally that could last months. More importantly, when it starts falling after a big rise, it’s usually time to take profits and move back to Bitcoin.
Think of Bitcoin dominance and Others dominance as your market compass. They tell you which direction to position your portfolio. During Bitcoin season, you want heavy Bitcoin exposure. During altcoin season, you want to be in high-quality altcoins.
The Market Cycle
Even more important than the altcoin cycle is knowing where we are in the overall market cycle. Are we approaching a top? Building a bottom? Here’s what to check:
- Pi Cycle Top Indicator: This has historically caught major market tops. When the 111-day moving average crosses above the 350-day x2 moving average, it’s often a sign of market euphoria. If we’re approaching this level, it’s time to take profits.
- MVRV Z-Score: This measures if Bitcoin is over or undervalued relative to its ‘fair value’. When it enters the red zone (above 7), the market is overheated and due for a correction. When it’s in the green zone (below 0), we’re likely near a bottom.
Understanding these cycles prevents you from buying tops and selling bottoms. More importantly, it helps you take profits before everyone else panics.
I should mention: this is critical but not easy. In The Premium Newsletter, I regularly update subscribers on where we are in both cycles and what it means for their portfolios. Click here to learn more about how Premium helps you navigate market cycles.
🔒 Security Setup
Your gains mean nothing if you can’t keep them safe. Here’s your security checklist:
Hardware Wallet
Don’t just buy a Ledger or Trezor—master it. Practice sending small amounts first. Test your recovery phrase with a small sum. Most importantly, never enter your seed phrase into any website or app, even if it looks legitimate. I’ve seen too many investors lose everything because they didn’t take time to learn proper security.
Exchange Security
Enable every security feature available. Use an authenticator app for 2FA, not SMS which can be hijacked. Create a separate email just for crypto. Whitelist withdrawal addresses—yes, it’s annoying, but it’s saved countless portfolios from hackers. Think of it like insurance: it seems unnecessary until you need it.
📈 Trading Setup
Whether you’re actively trading or just managing your portfolio, you need a clear system:
Entry Rules
Don’t buy just because something is pumping. Set clear conditions for entries. I look for strong fundamentals combined with technical setups like support levels or trend confirmations. Write down your rules and stick to them—emotion is your enemy in trading.
Exit Strategy
This is where most people fail. Set clear profit targets before you buy. I usually take profits in stages—maybe 25% at 2X, another 25% at 3X, and so on. Having predetermined exit points helps avoid emotional decisions when prices are moving fast.
🔍 Market Analysis
Understanding where we are in the market cycle is crucial:
Technical Analysis
You don’t need to be a charting expert, but learn the basics. Understand support and resistance. Watch trading volume—it often tells you more than price. Most importantly, learn to spot trends. Here’s my guide for beginners.
Cycle Awareness
Pay attention to Bitcoin dominance. When it’s falling, altcoins often rally. When it’s rising, stick to Bitcoin. Watch how different sectors rotate—sometimes DeFi leads, other times it’s Gaming or L1s. This knowledge helps you position your portfolio for what’s coming, not what’s already happened.
Need Help Getting Ready?
If this feels overwhelming, you’re not alone. That’s exactly why I created The Premium Newsletter. Every week, I share:
- Exactly what I’m buying and selling
- When I’m taking profits
- Where we are in the market cycle
- New opportunities I’m watching
Click here to read more about Premium.
Final Thoughts
You don’t need to check every box on this list to make money in crypto. But each item you can check improves your odds of success.
Start with the basics: secure your assets, build a balanced portfolio, and have clear rules for buying and selling. Then work your way up to more advanced strategies as you gain confidence.
Remember: The best time to prepare for a rally is before it starts.
Want to keep learning? Check out the low-risk system I used to 20X my money in 16 months.
Your next move could change everything. Make it count.