My selling strategy : need criticisms

[Mydi]

Hello,

I'm a very modest miner with 4 graphic cards, 2 on ETH and 2 on BTC throught nicehash, nothing fancy I'm thinking about a selling strategy for my mining income and I welcome criticisms and comments.

I'm not the best at economics and it may be heavily flowed, that is why I need you. Note of interest: I believe in crypto so I'm long-term bullish.

My goal is obviously to make the most money possible out of what I mine but also play it safe to avoid loosing everything in case of BTC's price tanks too hard. I was thinking to follow these rules:

• Keep 50% of what I mine and HODL to it. Selling some of it by small increment from time to time if BTC keep rising. (Like sell a bit when BTC reach a new high at least > 3k the last high)
• For the other 50% that I mine:
  
  • My lowest selling price is 9000 euros. If/when BTC is under that price, HODL. Under that price i'd rather eat electricity cost and consider it a hobby/gamble (same reasoning for ETH)
  • If BTC is high enought, my idea is to put a stop sell order for 33% of what I have to sell at 10% below the current price. 33% of what I have to sell at 15% below the current price and the last 33% at 20% below the current price.
  • If BTC price increase, I'll slowly relist my BTC at the price that matches 10/15/20% below the new max price.

The other alternative I see would be to sell at or around market price every week what I mined. My strategy has the advantage of getting me more money if the coin price increase. In case of a decrease, I control my loss and do not lose more than 10-20% of the current price.

I welcome any tips / idea and criticisms about my risk-management plan to sell my mining income ! How would you guys approach the situation ?

[mrproblem]

Please make your strategy with thinking you monthly outcome like electricity cost and maintenance costs also you can add operating cost as an hourly value of yourself.
so that means your outcome as periodical.
Also you had an outcome as one time that is for buying, installing and commissioning of your miner equipment what I mean is you have an equipment cost.
So define yourself also a ROI that means for instance you buy your equipment from 1500 USD and you have target like 6 months to gain back this value. That means you have 250 USD monthly cost.
Add your periodic monthly cost above for instance it is 50 USD.
So that means monthly you need to gain 300 USD.
Now your target is to gain 300 USD monthly.
Than you can arrange other percentages according to that.

[FalcoonRed]

141/5000
this is very helpful for me a newbie, I have not tried trading. please give me suggestion for my bounty result can be doubled

[renes]

I think as a miner, whatever your strategy will be, you should never take risk because this is not like trading you must be always in profit, I think only you can create the best strategy for yourself.

[Javi_Anibarro]

before giving you an advice,i'd like to know.
what is mining for you ? it is kind of hobby ? or doing something to help your financial and at the same time looking for future ?
if you are this as kind of hobby,i do not have anything to tell you.
but if you are the second type of people,i have an advice for you ;
as we can see right now,Bitcoin and Ethereum difficulty are ridiculously high compared to other cryptocurrency at this moment.
which means you will get less everyday and everytime whenever it keeps getting higher from before,
so why do not you make a new strategy ? like mining an undervalued project with an average difficulty ?
for example ;
right now you are using 1070 ti for mining those coin,daily you will get around $1.29(for ETH) or around that.
but if you are mining ZEC(for example) you will get $2.21 or around that daily.
from that alone we could see that it is much more profitable for you to mine ZEC other than ETH itself.so why do not you mine ZEC and convert it to Bitcoin or ETH after you mine it ?
there're many projects out there which were undervalued,
take it as a chance and applies your strategy after you convert it into BTC or ETH.
first you get profit from your mining equipment and second you get your position on ETH and BTC.

P.S : your strategy are good in my opinion,but the way you execute it were not good enough

[Mahanton]

-snip-

I have read up above that you do have 4 graphics card 2 is for ETH and 2 card for BTC? Are you  serious? Even using up nicehash wont really give you a conceivable result even how hard i do think up on the profits but well as you mentioned that you are mostly doing this  because of hobby and doesnt think of about the electricity cost.Decision of selling would be entirely depending on you, since every person do have its own will do decide then criticism wont be given out on what you are calculating on here.

[Tankdestroyer]

Hello,

I'm a very modest miner with 4 graphic cards, 2 on ETH and 2 on BTC throught nicehash, nothing fancy I'm thinking about a selling strategy for my mining income and I welcome criticisms and comments.
~snip~

I think your selling strategy is good enough so long as you profit and so long as you don't have to suffer from electricity cost for mining. I like the part where you said you are holding 50 percent of what you mine until btc and eth reach your target price for selling. Just remember to sell every time a crazy pump occurs(because it will most likely result into correction afterwards).

[Wipro]

Hello,

I'm a very modest miner with 4 graphic cards, 2 on ETH and 2 on BTC throught nicehash, nothing fancy I'm thinking about a selling strategy for my mining income and I welcome criticisms and comments.

I'm not the best at economics and it may be heavily flowed, that is why I need you. Note of interest: I believe in crypto so I'm long-term bullish.

My goal is obviously to make the most money possible out of what I mine but also play it safe to avoid loosing everything in case of BTC's price tanks too hard. I was thinking to follow these rules:

• Keep 50% of what I mine and HODL to it. Selling some of it by small increment from time to time if BTC keep rising. (Like sell a bit when BTC reach a new high at least > 3k the last high)
• For the other 50% that I mine:
  
  • My lowest selling price is 9000 euros. If/when BTC is under that price, HODL. Under that price i'd rather eat electricity cost and consider it a hobby/gamble (same reasoning for ETH)
  • If BTC is high enought, my idea is to put a stop sell order for 33% of what I have to sell at 10% below the current price. 33% of what I have to sell at 15% below the current price and the last 33% at 20% below the current price.
  • If BTC price increase, I'll slowly relist my BTC at the price that matches 10/15/20% below the new max price.

The other alternative I see would be to sell at or around market price every week what I mined. My strategy has the advantage of getting me more money if the coin price increase. In case of a decrease, I control my loss and do not lose more than 10-20% of the current price.

I welcome any tips / idea and criticisms about my risk-management plan to sell my mining income ! How would you guys approach the situation ?

I do mining ethereum with the 10 cards rig I have mate. This is actually gives more than expected if you compare and see at present situation. If you long term focus the mining the directly and keep it safe only
I have 5 cards Rx 470 cards to mine the ethereum and balance cards to mine ethhash and cryptonight on Nicehash.
Please do not allow more electricity to consume mate. You will get the trouble from the electricity board.

[Mydi]

Thanks for the replies !

A bit more information to answer you guys:

- I care about profit and view mining it as part hobby / part investment.
- I do not mind losing a bit of money if crypto crashes and do not recover. This is why i do not cash out what I have at the moment. I think the risk of imminent crashing is low enough and we should be able to get over 9K€ someday in the future.
- I know that mining eth / btc may not be the most profitable ever but I do not have the time and patience to research new coins every now and then and find exchanges to trade them.
- I am also doing a bit of mining of some lesser known coin for like 5-10% of my total hashrate because they have the opportunity of going through the roof at some point making the ROI huge but I chose to only spend 5/10% of my hash on these to minimize the risk involved. This is because my goal is both to make a bit of profit now and bet that crypto goes to the moon later so I can cash out something more sizable.
- I try to minimize my electricity, and keep heat and noise to a minimum and that is partially why I chose ETH on one of my 2-card computer. (Note: RX 580 are freaking loud compared to my 1080/1070ti, maybe i got a bad brand but damn !)

[vishudda]

I do follow almost the same selling strategy. I do earn altcoins through doing bounty and purchasing them with the another altcoin selling.  I do Keep 50% of coins with me and the other 50% sells gradually based on the price changes of Altcoin i trade in. and then with the other 50% i do set some target percentage of profit, once the coin reaches to half of the target price, i do sell at least 10% of coins and i wait for the target percentage and sell the 10-15% of coins from the total amount of coins. I keep Hold the rest of the price to get maximum profit. I got some profits with this techniques. As i keep some patience, i felt i have not lose anything till now.

[Pursuer]

...with 4 graphic cards, ...2 on BTC throught nicehash,

how does this even work?
your GPUs are not even producing enough hashrate to be relevant when it comes to mining bitcoin! are you even getting paid?
I am not a miner but I suggest checking other altcoins for mining with your GPU, you may make a lot more profit than this because you need an ASIC to mine bitcoin. try visiting coinwarz and other mining calculator sites to get more information on this.

I'm not the best at economics and it may be heavily flowed, that is why I need you. Note of interest: I believe in crypto so I'm long-term bullish.

it all comes down to this and the way you think about it. I personally have no faith in any altcoin which is why I only have my long term investment in bitcoin but if you don't agree with my view then your plan is good enough.

as I said I am not a miner but I have thought about it. if some day I start doing it, then what I will do is that I sell as much to just cover the costs and keep the profit in cold storage. so lets say I earn 1BTC per month and the cost is 0.9BTC, that means I sell 0.9BTC and keep 0.1BTC (just example numbers).

[Mydi]

...with 4 graphic cards, ...2 on BTC throught nicehash,

how does this even work?
your GPUs are not even producing enough hashrate to be relevant when it comes to mining bitcoin! are you even getting paid?
I am not a miner but I suggest checking other altcoins for mining with your GPU, you may make a lot more profit than this because you need an ASIC to mine bitcoin. try visiting coinwarz and other mining calculator sites to get more information on this.

....

it all comes down to this and the way you think about it. I personally have no faith in any altcoin which is why I only have my long term investment in bitcoin but if you don't agree with my view then your plan is good enough.

as I said I am not a miner but I have thought about it. if some day I start doing it, then what I will do is that I sell as much to just cover the costs and keep the profit in cold storage. so lets say I earn 1BTC per month and the cost is 0.9BTC, that means I sell 0.9BTC and keep 0.1BTC (just example numbers).

Don't worry, I do not mine BTC directly with my graphic card, I leave that to ASICS. I use a software called Nicehash where you sell your hashpower to other people that pay in BTC. So I'm mining Ethash, equihash, neoscrypt and a few others algo depending on who is paying the most and I get some BTC in exhange. This is why people generally make the shortcut of syaing they mine BTC through nicehash.

I personally believe in ETH a bit more than BTC for long term but BTC is so important in the crypto world that I chose to diversify my portfolio to reduce the risk. This is also why I chose to add a "shit-coin" in addition as I often see the tips to diversify your investment and I totally agree with it.

Your strategy of selling what covers your cost and keep the rest is a common one. It is one of the safer one but the also one that has the less potential of a high profit. I'm willing to take a bit more risk by waiting a price slightly higher than what we have now

[jorgelugra]

My strategy is to be in profit always)) I have read your strategy plan and think that it is a good strategy. If you stick to it as you plan, then the success is guaranteed. You should wait for a certain period of time until it works

[Wilsonong222]

Hello,

I'm a very modest miner with 4 graphic cards, 2 on ETH and 2 on BTC throught nicehash, nothing fancy I'm thinking about a selling strategy for my mining income and I welcome criticisms and comments.

I'm not the best at economics and it may be heavily flowed, that is why I need you. Note of interest: I believe in crypto so I'm long-term bullish.

My goal is obviously to make the most money possible out of what I mine but also play it safe to avoid loosing everything in case of BTC's price tanks too hard. I was thinking to follow these rules:

• Keep 50% of what I mine and HODL to it. Selling some of it by small increment from time to time if BTC keep rising. (Like sell a bit when BTC reach a new high at least > 3k the last high)
• For the other 50% that I mine:
  
  • My lowest selling price is 9000 euros. If/when BTC is under that price, HODL. Under that price i'd rather eat electricity cost and consider it a hobby/gamble (same reasoning for ETH)
  • If BTC is high enought, my idea is to put a stop sell order for 33% of what I have to sell at 10% below the current price. 33% of what I have to sell at 15% below the current price and the last 33% at 20% below the current price.
  • If BTC price increase, I'll slowly relist my BTC at the price that matches 10/15/20% below the new max price.

The other alternative I see would be to sell at or around market price every week what I mined. My strategy has the advantage of getting me more money if the coin price increase. In case of a decrease, I control my loss and do not lose more than 10-20% of the current price.

I welcome any tips / idea and criticisms about my risk-management plan to sell my mining income ! How would you guys approach the situation ?

In my opinion you have a perfect and good selling strategy. All you have to do is follow your plan religiously and annually review all the applicable changes you need to revise. Even you have perfectly fine strategy you still need to review it for effectiveness calibration. Cost of mining and price of crypto is a determinant of your strategy. These two should be monitor monthly.

[slashz9]

I think in mining, you will never experience a huge loss because you get the coins for free, indeed you have to pay the electricity costs but still you get profit from the mining, in contrast to the trading they have to spend money to buy it and determine when have to sell it, compared to you their risk 2 times more than you.

[devollito]

Thats good strategies already. You never go all in in one coin and buy with averaging. Then you sell it not all. I also did that and its worked for me as well. Day trading mostly make me confused and i only trade weekly untill i got small profit then i sell the coin. The rest of it i hold untill spike.