My Strategy For Taking Crypto Profits

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Hey Jesspeculators

The crypto market is in a state of flux and people are getting excited again about the possibilities of a major rally, As any good crypto investor should know it's time to prepare yourself and look at how you will be taking profits. It's a part of the game I have personally struggled with as I never feel ready to sell out of positions.

I've been burned in the past for not taking profits when I should not have let the greed get the better of me. I learned an essential lesson in the last bull run, and I hope not to repeat the same mistakes this time around.

So how will I be taking profits this time around? I've made quite a bit in the crypto market over the last few years so I will only be looking to withdraw my principle at first once the rally comes and then taking it from there.

takingprofits.png

This strategy might change as we never know what the market is going to do, but if we break 20k, I will look to break off a small chunk of my alts and convert it. For every 5 - 10k, we move higher than 20k I will look to sell 10 - 15% more of my holdings.

I will not be selling any of my BTC just my altcoins.

50% BTC

Altcoins to me have always been arbitrage against BTC so to me it makes sense to use some alt gains to stack sats and improve my BTC standing for the next bear run where I can stack cheaper sats on top of what I've gained through selling alts for BTC.

BTC breaking 20k will mean crazy bubble nomic values for alts and as alts skyrocket they make for great ways to stack sats against these trading pairs.

Yes I know BTC will correct, and I could lose those dollar-denominated gains, but what I have gained in Sats I am more than happy to HODL to the next run.

50% (USDC + DAI)

If I am to cash out into a fiat base I will do it with USDC, USDC is a centralised dollar-backed coin issued by coinbase. Each USDC is audited, and you can even exchange them for real fiat dollars if you want them, unlike USDT, which is unbacked. This is why I have a little more confidence in USDC than USDT.

The great thing about moving into USDC and Perhaps some into DAI is that I can park some of my earnings from the run into a DE-FI platform and earn interest on these coins while I wait it out for the market to entirely correct and I can jump back in.

Why I won't liquidate into fiat

I honestly see no point of selling into fiat, selling at such massive valuations will only mean I need to pay capital gains tax. Which to me is dumb as I'd most likely never use this capital for anything but reinvesting in the bear run. I have cash flow to live on so this money is all about use in recycling in the market and maybe a holiday or two.

As crypto becomes more widespread and adopted we won't need to sell in fait, I can pay for flights in crypto and in certain cases book hotels with crypto and if I have stable coins it makes it even easier, so I never need to cash out to crappy fiat.

Have your say

What do you good people of HIVE think?

So have at it my Jessies! If you don't have something to comment, comment "I am a Jessie."

Let's connect

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47 comments
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I think that is good. I have also thought about that. I was in the rally in 2017 and can (after) realize that I was so greedy so.....
My thought was in the beginning - sell if you get 25 %. Then I thougt 100 %....

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LOL it was our first bull run you can’t blame us, we hard to learn the hard way a lot of people who were also in it ran away completely and gave up and didn’t stick it through I think that’s even more painful than losing possible gains by no selling

I can’t see one reason to cash out into fiat LOl I’m hooked on the crypto! I’ll need rehab,it’s like a drug to me I just want more and it makes me feel good

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At that time you only hade Tether to go to if you wanted Safe Ground. But tether is not a safe ground... I remember I wanted some way to safe my earnings. Now we have USD-C and similar so I hope it will be easier.
AND I did what you tell me - posted my first post in hodl-community and I think I manage to do everything right.

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Indeed, and we also have gold backed stable coins, if the underlying currency backing your stable coin fails, so plenty of options now to jump in and out of the madness

looks like you found your new home, I see you got curated too :)

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What?
I Only get upvotes over 1usd If I sell My soul to splinterlands. This is huge for me

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Welcome to team @hodlcommunity, if you want you can also delegate to the project and receive daily payouts as well as follow the vote trail if you can't manually curate in the community :)

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Will do. I have some hive and HP I still have not decide What to use to.

So Every post has to be about Hodl? Or also earn crypto by play and do task?

Will do a learn and earn Today. Love them

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No, it can be about crypto opportunities in every facet, not all my posts fit here since I don't just only talk about crypto but more finance stuff, so I don't always post in HODL, but when it is applicable I drop my post there

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Ok. Thanks. Time to check My pacemaker now. Wish me Luck...

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Was it 15 % to "HODL" or to "hodlcommunity" I was suppose to set in settings?

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To hodlcommunity

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always....I always do wrong 3 times before I learn how to do it right. I am a bad student...

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(Edited)

I am sure you will make a good decision about this, I noticed too that crypto is gaining more attention now

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Well greed tends to do that, but also fundamentals, there's an asymmetric upside here in general, naturally with risk, but I think traditional finance is eating itself and now the search for yield sees people looking elsewhere.

Pretty sure we're going to have tulip fever-type frenzy coming, and I'll just be taking my time to stop, smell the roses and take profits

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I learnt the hard way, after the 2017 bull run. if the bull run is still gonna happen this year then things will definitely be different

Posted Using LeoFinance

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LOL I think many of us got burned in 2017 some run away, some stuck around learned and we're ready to do it right this time around, I hope you will cash out very close to the top and get ready to pounce once the market corrects, its going to be a fun ride no doubt about it

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I like your strategy, and personally, I will do it very similarly to you... The only difference that I will make is that I will withdraw a part of my BTC (if it goes up) in a certain period of time...

And the reason is that I want to invest my earnings in my better living, and cut my offline expenses... Any other conversions to fiat money can come for a things like food, or any other need that may occur...

Nice post... I like your thinking... ;)

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I guess we all have our various end goals, I just see these cycles as short term profit-taking opportunities while we head up to where we eventually will be. I'm always happy to spend my fiat and keep the good money lol

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I'm always happy to spend my fiat and keep the good money lol

hehehehe.. you said here a BIG truth... :D Spend shitty money and keep crypto :P

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i'm going about 70% btc, 15% eth, 15% altcoin ... i'm leaning towards yes that BTC and ETH both nearly double from here approximately in 6 months

did you see this ... ,,, from one of altcoin daily's recent posts:
YAM - $76 million deposited with no audits on contracts, released Tue, hit $150, now trading at $0.80 !
WOW !
https://www.coingecko.com/en/coins/yam
ouch !

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These liquidity pools and flash loans are going to get out of control, so many smart contracts creating tokens for rehypothecation and dumping! I don't even know who these nutso people are who even find these projects and go lose their money investing in it

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Looks like this is the ico 2.0 hype. Just tell people that you do de-fi and throw in some promise for dividends or so based on leverage trading and people that dream of becoming rich overnight will start throwing money at you.

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Absolutely, you hit the nail on the head, what people don't get about DE-FI and these staking coins is that you are getting paid in inflation so as long as people are buying in the price and go up and the inflation you get is worth more but as soon as people start selling the whole thing breaks apart, very ponzi like

Unless thres a use for the capital and not just giving away inflation, I don't see it as DE-FI i see that as ponzi-nomics

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True, and in the regulated market this wouldn’t be possible in the same way. Out at least they would be forced to yell peeled that their product is a very high risk product.

But crypto is not regulated, so people have to be very cautious, but they aren’t because of greed.

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Yeah I don't care much for regulation I think that it takes away from people's ability to see rubbish, I prefer people learn to evaluate things or they will never learn.

You don't protect the public by keeping them ignorant, give them the tools to learn on how to invest and then let them do as they please.

That's just how I see it

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True, but because that is exactly what happens in the rest of society people are not prepared for this Wild West of crypto.

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Exactly the crypto space seems nuts to normies because they’ve allowed governments to wrap them in cotton wool and coddle them! It’s time for personal responsibility and the benefits of handling your own money will always come with short falls if you are reckless, governments and instance can’t make you whole

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Yes, it’s not for no reason that people say, do your own research

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So where do you buy and store your coins? I'm starting to check out more on coins, curiosity got the better of me. I doubt I will invest a good deal, at least not at first, but it would be good to know the how to's and where to go's of the crypto world.

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I buy witb Binance and Kucoin and sometimes with uniswap and keep the shit coins on exchanges staking coins I use atomic wallet

Then dump some with platforms like blockfi,Celsius and crypto.com to earn a passive income

BTC and ETH I keep in a ledger

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Good strategy.
What defi platform do you use for DAI?

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I’m putting the DAI on my ledger and getting the DSR via meta mask not still looking to max our returns on this one

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Very interesting i think in this Point we have different opinions or cash Out Plans ..
But i think both make sense.. it does have a Lot to do with your Personal Situation too
I will maybe never sell 5% of my btc but i will do sell btc too (and altcoins)
But yeah comverting it into usdc or other stablecoins make sense.. and maybe into paxgold or something Like that

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I can't see myself doing all this hard work to give any of it away to tax lol, its mine okay all mine, also already give so much of it away to fees and transactions lol let me have whats mine.

Going to be interesting to see how people handle the next run, this is my game plan for now, who knows things might change

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Since you can't predict with 100% accuracy what the market will do, it is generally best to try to do some sort of dollar-cost-averaging strategy.

Even set the sell orders already. Always take some profit on the way up and never sell all.

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You're right, I should actually set my sell orders, I will do that probably tomorrow and then sit back and let them fill out eventually

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That is the best way to do it. Make rational decisions and take the emotion out of it. Basic stock trading says: make a plan beforehand how much profit is enough for you.

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Caused by attributed (psychological) value instead of internal value of tokens, cryptocurrency world could give people sometimes disappointing sometimes cheerful emotions. Also, scam ICO's and unsatisfied expectations are common problems. But this new coin deserves to be taken serious. I have written an informative post about Ethereum eRush (EER). Please take a look at.

https://hive.blog/hive-125125/@hayirhah/ethereum-erush-eer-brings-new-perspective-on-cryptocurrency-proof-of-live-protocol-and-the-easiest-mining-on-the-world

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Read up on your post, can't say I'm inspired by the project nor the research put into your post, lol thanks for the recommendation but I'll stay away for now.

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Thanks for your attention. I respect your ideas. But I would like to hear your critics.

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Rather, it is a winning and safe strategy to invest and generate profits.

I'm just like you, I'm just starting to invest and I prefer to keep what I accumulate as a little "satochi" and rather see with the alt coins to accumulate other profits but also to train myself because it's complex...
Hugs 😘

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Nice to see you're taking calculated risks and trying to see the bigger picture, it will all make sense in a few years, have fun and keep learning. The more you learn the more you earn

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Yes, you are right. I keep learning and will see in some few years how it goes.
I am curious and looking forward to it.

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Totally, lol im sure in a few years I'll look back and laugh a the way I used to think, always seems to catch up with one eventually, well if you are paying attention

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