During periods of high market volatility, investors should rebalance their crypto portfolios by focusing on diversification and risk management. A diversified portfolio can help mitigate the risks associated with price swings in individual assets. Consider adjusting exposure to more stable cryptocurrencies like Bitcoin or Ethereum while reducing allocations to high-risk altcoins. Additionally, setting stop-loss orders and taking profits at key levels can help safeguard gains and reduce potential losses during volatile market conditions.