When to sell Bitcoin? we teach you good investment strategies!

Bitcoins of Trading And Finances

Most cryptocurrency investors often ask themselves, when is the right time to sell Bitcoin? After all, common investment knowledge suggests that you buy low and sell high, but it is impossible to prevent any telepathic power, knowing when it is low or high.
 If I buy bitcoin, how to know when to sell it?

Should you sell Bitcoin?

While there is no right or wrong answer to that question beyond the crystal ball. A lot depends on whether you are a risk taker or if you like to play safely. And, unfortunately, you must be willing to make mistakes. After all, like all investments, cryptocurrency is a risky asset, and while it is possible to earn a lot of money, it is possible to lose everything. But to better understand when to sell Bitcoin, we can start by looking at the price of Bitcoin.

Bitcoin price stability and volatility:
Bitcoin’s price enjoyed a period of relative stability throughout most of the summer and early fall, and by mid-September, its volatility had reached its lowest point in four months. we are promoting that stability week after week, since the price of BTC was around USD 10,000.

However, on September 24, that stability seemed to be broken. Over the course of just a few hours, the price of Bitcoin fell by more than $ 1,000, and over the next month, it would drop to $ 7,446, its lowest price point since mid-May. Then on October 25, Bitcoin experienced its biggest 24-hour price change since 2011 when it was trading at $ 5.60, briefly pushing it above the $ 10,000 mark. Today costing 5,915.90 US dollars a single bitcoin.

While it’s tempting to see a price drop and immediately panic and sell, what does price volatility mean and how does it relate to knowing when to sell Bitcoin?

When to sell Bitcoin: investment strategies that will help you know
Bitcoin investment strategies:

  1. When the volatility of Bitcoin prices is good news:

Cryptocurrency day traders thrive in a volatile price market. After all, a 40% price increase over the course of 24 hours really does provide the opportunity to buy low and sell high, of course, if you get the price on the right side. That’s easier said than done, but for high-risk takers, a volatile price may mean it’s time to sell Bitcoin (and then buy it again). It is imperative to note that it is a movement that can be very counterproductive, especially if you are an inexperienced trader. So always take a few precautions or prepare to lose your entire investment.

  1. HODLing as a long-term strategy:

For investors with a greater risk aversion, a better strategy may be to consider crypto as a long-term investment, and HODL, or to preserve your life, no matter how high the price, by choosing to sell Bitcoin only when you ‘re ready. to withdraw. While Bitcoin’s price pattern over the past decade indicates a steady upward shift, this approach is also not without risks. While many have tried, no one can accurately predict where Bitcoin will be in another decade, let alone another 30-40 years. And the asset is still so new that not only the price fluctuates, but also the regulations surrounding its legality. There is a lot of faith involved in this approach, with the ability to backfire. Still, if you are a true Bitcoin believer, investing and HODLing is a way that doesn’t take much time to (hopefully) watch your investment grow.

Bitcoin growth over time:

  1. A strategy halfway:

If you want to take an approach that combines daily trading and HODLing, you can decide to sell a percentage of your Bitcoin while keeping the rest. This empowers you to try to take advantage of price volatility and try to sell high without risking your entire investment.. At the same time, it leaves a part of your investment intact with a long-term focus. This approach also takes time and risk. And decide in advance what percentage you want to keep and what percentage you need to trade. You never know if you will sell at the right time or if you will pay in the long term. But for people who want the best (and worst) of both worlds, this may be the focus on when to sell your Bitcoin.

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Disclaimer: Financescity only offer legal, financial or investment advice, but it is not a substitute for the due diligence of each interested party. Financescity does not endorse any of the initial coin offerings (ICOs) promoted here. The content and links provided in each article are for informational purposes only.

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