Taking Profits on Altcoins Strategy

[m.rifki]

There is a flow that we can always see in the crypto market, when BTC begins to dim in its dominance, that's when altcoins begin to take their place in the crypto market, and that's when we should take

[Dragonfund]

You have many options like you indicated. For example, I sold most of my profits so far and kept some amount of them in stablecoins and withdrew the rest of it. I kept some in stablecoins because I wanted to stake and increase them. I'd rather staking the money than keeping it in a deposit account for now.

How do you intend to stake stablecoins? Do you mean lock up with less than 6% APY or you mean farming with other tokens to get more coins?
I have not seen that though buddy, you either lock stable coin, we misuse the concept of staking from what it's originally designed for.
Anyways, stay away from shitcoins if you are really into farming because of impermanent loss, rug pull by team or hackers and you might also not gain much if you are into liquidity providers for huge profits. It's better to hold coims or hold stable coins to avoid unnecessary stories.

[RussianEnglishTranslation]

Just stake NEAR and Celo and sell your staking rewards when the market is up.

[JackieAinsley]

Now NFT is very popular, many of them are actively used in the gaming industry and many gamers are already actively earning on NFT, even creating their own communities such as https://twitter.com/LiquidationsOf/status/1415853396792201216

The gaming industry offers great potential for cryptocurrencies. Thanks to NFT, players can earn money from games, so the community of players is now very popular and is growing rapidly.

Now many cryptocurrency projects pay attention to gamers, as gamers have huge communities and are able to have a significant impact on cryptocurrencies.

[ene1980]

Let's see about the new hype altcoins emerging. We can trade them and take profits in the short time waiting for the pump price and then sell them at the high price as we have targeted.
However, we may not need to hold them for a longer time because it may be too risky.

Majority of the projects are too risky to hold for a long period of time because when the market starts to correct some of these projects might stop working if there is a major sell off and it all depends upon the core strength of the project and the innovation they are implementing in it according to the changing trends.

And there are also some altcoins that will have good news or events at a certain moment so we can just prepare to buy some of these coins and wait until the right moment after the events, so we can make higher profits at that time.
And there may be also another chance to take profits based on investing for middle and long term investment. I believe this is more to top coins only.

The major projects that are established in the market has its risk but not like new projects.

[Kez1817]

We have different strategy in taking profits on Altcoins. For me, I would rather choose an altcoin with good return even for a short run then put some percentage of my profit on bitcoin so that if ever the altcoin I choose suddenly lose it's value, I still have profit put on bitcoin. It's too risky to hold altcoins specially a new hype altcoin, maybe ETH is good or BNB but others, I doubt it, that's why be wise, if you gain profit through pump in altcoins, put some percentage in bitcoin.

[TheGreatPython]

For me, I would rather choose an altcoin with good return even for a short run then put some percentage of my profit on bitcoin so that if ever the altcoin I choose suddenly lose it's value, I still have profit put on bitcoin.

But almost all altcoins will lose its value in terms of both USD and BTC at a time; I mean I have not come across a coin which is profitable either BTC or USD value. I guess it would too helpful if you suggest me any of such coin so that I may watch them and may include into my portfolio.

It's too risky to hold altcoins specially a new hype altcoin, maybe ETH is good or BNB but others, I doubt it, that's why be wise, if you gain profit through pump in altcoins, put some percentage in bitcoin.

Booking profits on time to time with any altcoin investment is highly recommended. I have seen many coins which were trading at decent price levels suddenly got dumped and then slowly exchanges delisting them in the end; one good example must be bitsend.

[tygeade]

Hmmm, the things you have said here are good moves to make in an investment like this. There is nothing wrong with investing in real estate, if you have enough funds to invest, then it wouldn’t be bad to take out a part of that money and invest in real estate. Real estate is like one of the best investments you’re going to make these days. So, that’s a yes. Keep part of the money for investing in cryptocurrency, while the rest goes towards the real estate investment.

When the market is bullish you can hold your cryptocurrency and when you feel you have made enough profit, it’s best to pull out and wait for the right time when the market will crash. It wouldn’t be bad to invest back into cryptocurrency with the money. Even at a stable time like this, cryptocurrencies like BTC and ETH can make you enough profit in a month than you will get from those BlockFi.

[Rocky993]

Without Cryptomarket's Top altcoin.  The road map of all the other altcoins that are available and coming in the market, which have been created in the support of some companies, using the case, everything is completely safe for a short time and it is possible to make more profit.  The best option is to invest in BTC, ETH, BNB for more profit in the long run.

[Golftech]

The best option is to invest in BTC, ETH, BNB for more profit in the long run.

If you mean long run you should take into account that you should have minimum of 2 years  to fully maximized

the benefits out from those assets that you've mentioned. There are big potentials that acceptance will continue

and adoptions for crypto transactions will bring more value to those assets. Treat it as your lone term savings you'll

love the benefits once you succeed holding it.

[bocyaj]

Hmmm, the things you have said here are good moves to make in an investment like this. There is nothing wrong with investing in real estate, if you have enough funds to invest, then it wouldn’t be bad to take out a part of that money and invest in real estate. Real estate is like one of the best investments you’re going to make these days. So, that’s a yes. Keep part of the money for investing in cryptocurrency, while the rest goes towards the real estate investment.

When the market is bullish you can hold your cryptocurrency and when you feel you have made enough profit, it’s best to pull out and wait for the right time when the market will crash. It wouldn’t be bad to invest back into cryptocurrency with the money. Even at a stable time like this, cryptocurrencies like BTC and ETH can make you enough profit in a month than you will get from those BlockFi.

Market is pump for the now.Some coin had raised a good value.The people who had invested money in such coin ,now withdrew the money with some profit.It's better to withdrew for now instead of holding for the longer period.Bitcoin will rock the world in a short period.BTC and ETH was the potential coin all the time.

[tvplus006]

We have different strategy in taking profits on Altcoins. For me, I would rather choose an altcoin with good return even for a short run then put some percentage of my profit on bitcoin so that if ever the altcoin I choose suddenly lose it's value, I still have profit put on bitcoin. It's too risky to hold altcoins specially a new hype altcoin, maybe ETH is good or BNB but others, I doubt it, that's why be wise, if you gain profit through pump in altcoins, put some percentage in bitcoin.

This is a good strategy and I use it myself, getting a profit from trading new coins, I use part of it to buy BTC. And of course, I believe that Ethereum will still exceed its ATH not only in relation to the dollar, but also in relation to bitcoin. Therefore, every investor should have, in addition to BTC, also ETH in his wallet.

[Kusman]

To me, the best strategy is that setting price goals all the time and take the profit when we reach the goal. Maybe not all of the profit, but taking some of the profit will still be the wise thing to do. Otherwise, we may even lose all our profit and even our capital. So, this is my strategy in general honestly.

[Stunzz]

I am looking to take some profits on my altcoins after the next big pump. Need some advice if my strategy is good or not. I'm based in the US.

1. When I start to take profits from my altcoins do I just sell them on the exchange for dollars and then buy stablecoins with that? Or do I somehow trade the alts for stables? Does is matter since selling or trading them are taxed for capital gains regardless?

2. Once I take the profits in stablecoins, is putting them on something like Blockfi to gain interest the best thing to do while I wait for another dip to possibly reinvest them?

3. Once the bull run is over I'm most likely going to keep all my bitcoin and probably most of my Ethereum. I'll sell most of my alts for stablecoins but keep small bags of the ones I want to keep through the bear market. Is this a sound strategy?

4. During the bear market is taking a cash loan using my crypto as collateral (BTC and ETH) a good way to defer capital gains taxes? Won't I have to pay these taxes eventually? I know there are drawbacks to this strategy but it seems like a lot of experienced people do this.

5. After the bull run should I just put my stablecoins in something like Blockfi during the bear market? Or is cashing out to dollars and investing in something like real estate a good way to defer capital gains taxes?

I know these are a lot of questions but any advice is greatly appreciated, this forum has been extremely helpful for a noob that has been in the space for about 4 months now. Thanks!

Me I rarely slack in taking profit on whatever I invested on. What I mostly do is taking out the exact amount I invested with by the moment it doubles. But if the project however doesn't double within a short period of time, then I wait for as long as it takes to take out profits and watch the rest grows.

[kumala_abi]

We have different strategy in taking profits on Altcoins. For me, I would rather choose an altcoin with good return even for a short run then put some percentage of my profit on bitcoin so that if ever the altcoin I choose suddenly lose it's value, I still have profit put on bitcoin. It's too risky to hold altcoins specially a new hype altcoin, maybe ETH is good or BNB but others, I doubt it, that's why be wise, if you gain profit through pump in altcoins, put some percentage in bitcoin.

This is a good strategy and I use it myself, getting a profit from trading new coins, I use part of it to buy BTC. And of course, I believe that Ethereum will still exceed its ATH not only in relation to the dollar, but also in relation to bitcoin. Therefore, every investor should have, in addition to BTC, also ETH in his wallet.

accumulating our profits from short term traders to bitcoin or other major altcoin could double our profits in near future. new altcoin should used to speculate for gaining big profts but we have to doing good research before decided invest in this projects. safety should be first priority in our investment and dont ever trapped in hype or fomo.

[Hobo66]

depends tho! if you are buyign the dip during a downtrend you are just buying the dip before the next dip, make sure you are buying when price is uptrending so you are buyng the pullback before the next push. In this way you can maxinum your earning in smart way with alt.

[gwdf1]

3. Once the bull run is over I'm most likely going to keep all my bitcoin and probably most of my Ethereum. I'll sell most of my alts for stablecoins but keep small bags of the ones I want to keep through the bear market. Is this a sound strategy?

It is a really good strategy, I have a similar one. It is better to sell off all altcoins when bear market starts, as they can drop by 80+% easily and you don’t know which of them will recover later.

5. After the bull run should I just put my stablecoins in something like Blockfi during the bear market? Or is cashing out to dollars and investing in something like real estate a good way to defer capital gains taxes?

It is up to your tolerance to red numbers. I mean that if you are a long-term investor and can put up with situations when you see big losses and you can wait several years more, you can hold your crypto, but if not, you should invest in something more conservative until the next bull run.

[Pelana vreo]

-snip-

You put multiple choices in one option, i think you can differentiate long term and short term investment, if you have an altcoin like Ethereum then do spot trade and the profit you have you can put into usdt/stablecoin,after that use the DeFi platform to profit from farming stablecoins of your choice, choosing several portfolios for investment requires patience, and make sure you choose long-term investments if you want to get a lot of profit, I'm not giving you advice, but you can see a graph of each coins on coinmarketcup.

[Rahman11]

This below link absolutely will be help for you about cryptocurrency trading, how can you do it, read this belows helpful article.
https://icoholder.com/blog/trading-altcoins/

[wahyu wida]

depends tho! if you are buyign the dip during a downtrend you are just buying the dip before the next dip, make sure you are buying when price is uptrending so you are buyng the pullback before the next push. In this way you can maxinum your earning in smart way with alt.

Indeed, I think that method is very effective where we don't bet on altcoins, but follow the waves and enter the market when there is a correction, so we don't need long to wait for the market to rise again, because it's a bullish trend. especially for new altcoins, I think it will be even more risky, this way we don't be too greedy to come out when we are full enough