It’s impossible to ignore what’s happening in the crypto market right now. Prices of top cryptocurrencies are down as much as 30% to start the year, and the number of top cryptocurrencies posting positive returns for the year has dwindled to a small handful.

With that in mind, I’m taking a defensive approach right now. I’m choosing cryptocurrencies that offer plenty of downside protection, while simultaneously offering the prospect of outsize returns over the long haul. Here’s how I’d put $1,000 to work right now.

$700 into Bitcoin

Right now, Bitcoin (BTC 2.26%) accounts for an astounding 60% of the crypto market’s total market cap. Thus, any market-weighted crypto index or market-weighted crypto fund will be heavily weighted toward…