Realizing the value of holding cash

[Captain Corporate]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

[tabas]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

I know how it feels to be like that because I've been with that situation before and I've learned from there. And as the market goes, that's why during the bull runs, the importance of having your profit or maybe some of it into a stable coin is a good option. Even you don't have that much, it's okay as long as you're prepared when the bottom of this bear market comes and you're able to buy the coin that you want to have during its sale.

[Yaunfitda]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

Yes, I think it's very important as well when to cash out in crypto

1. Bull run should be the time to make profit and sell at least take some and enjoy your winnings
2. Bear run is when people should start to accumulate

It's a hard lesson for me when I started because as you have mentioned, there are people who sell at bear market and losing money. But now I have learned that it should be the other way around.

[Johnyz]

Having cash on your hands always is a good strategy, it can give you buying power and when you see opportunity you can easily get it because you have that extra funds with you from time to time. Also, cash can help you with your emergency needs, aside from having your own emergency funds it can help you a lot once you have other extra funds. Cash management is also important, we should not just buy during bear market, we still need to analyze as well.

[nurilham]

...so having a little bit of your profit cashed out could benefit you.
-------

Unfortunately, some crypto investments may not conform to our own expectations. When we bought the cryptos during the bullish era and suddenly the market crashed at that time and we have not taken a profit yet, there is no other thing besides holding them until the next bullish era or a certain time period.
And to deal with this situation probabilities, this is how money management works, to decide how much to spend and how much to save and take. We need also to understand how much we can afford to spend during the bullish era and what kind of investment strategy we have. For, this will also determine our money management.

Taking profits and cash out the profits itself will also depend on our strategy. I am sure that many traders will also cash out their profits, although it may not be the entire profits. I personally always cash out the profits at least half form it and make the least for saving o the exchange or for another capital for investment. But, this will also depend on the curtains situation, there may be some different strategy or changing strategy again depending on the codnition at the time.

[JeromeTash]

I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Not all coins/tokens will go up again in the next bear market. Remember that.  I have some ugly experience from the previous bear market, trying to hold onto shitcoins that never saw the light of day in the 2021 bull run.

But yeah, the best time is buy is when the market looks unattractive, the best time to sell is when the market looks very good. Do not be so greedy.

[Wakate]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

So many things had happened to traders in this bear market and some persons might have lost a lot from buying at the top and selling at the dip. The market is doing whatever it likes so we don't need to bother yourself about it but to keep waiting so things can finally stay in place. We should not lose hope in the market now that everything is just getting well and some persons have seen that truly the market does not move in a single direction but always try and reset to take another direction or to continue.

[posi]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

Whether in a bear market or a bull market, we should leave at least 10-20% cash on hand, never all in any market. This is how I invest because we never know what will happen in the future and opportunities often come very unexpectedly so there is always cash to spare. Although in the bull market most coins will increase in price continuously, but when it comes to profits, we should also take some profits, not hold them all, taking profits is never wrong.
In the bull market, we should also limit our buying, especially the coins that have pumped strongly, we better ignore it. Don't be afraid to miss out because opportunities will always appear during the bull season.

[Baofeng]

Definitely, we need cash right now more than ever, we can't really rely on full crypto or at least just bitcoin in our wallet.

And in the scenario that the OP has said, yes that's one case, when suddenly the price goes down hard, lets say $10k-$12k, so that is a good buying opportunity, but if you don't have the cash right now then, obviously you can't take that advantage.

As for when to sell, yes it should be in bull run, or if you are lucky, you can time the market and make huge profit when you sell it in an all time high like in November 2021.

[NicNacCoin]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

There are many people who invest their money and lose all their money when the market is good.Later, if the market is good, they think of holding it for longer and don't take home any cash.After that when the market goes to crash again they become very desperate and at one point when the market is completely dumping they have no money to buy coins from the dumping market.Such cases have often happened but I myself am a good witness and example of it.

[Questat]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

It is because we usually do not think about the future but of just today. Mostly we did no preparation as we thought money is easy to get. People are sometimes blind to see the reality that once the bull season end, the bear market starts, it is usually out of our mind while enjoying the bull party and making a lot of money during that time. Most of us are financially illiterate and have no control over spending money which makes no wonder why we don't have a money reserve.

[samcrypto]

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

Taking profit is advisable and yes we should reinvest it if we want to earn more.
The market is very unpredictable, in this bear market having an extra money is ideal because you can get cheaper coins and the possible return is good especially when the market recovers. Cash is still good, have this always with your wallet and be prepared for everything. I do have my funds for this, it's not that big but I'm making sure to chase the cheaper market, I can't afford to miss that opportunity.

[Silberman]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

You are right when you say that people do it backwards, they sell during the bear market and buy during the bull which is never a good idea, but it is almost impossible to teach people to not do this as they are trading with their emotions and not with their minds, and when that happens it does not matter how persuasive your argument could be, they are not going to listen and they will simply panic when there is a crash and sell their coins for a massive loss.

[Jawhead999]

Actually everyone still holding cash since almost countries doesn't accept Bitcoin as a legal tender, if you don't have cash, how you can buy food, pay electricity cost, household, and other daily expenses?

Holding a coin in bear market isn't bad at all, as long as the coin have a fundamental and it will recover after the bear market end, I don't regret to spend my money to buy that's coin even though the price is higher than now. The only problem is when you buy shitcoin and during the bear market, your coin are delisted on various exchange.

[GreatArkansas]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.
(....)

This is a common mistake of people, especially those people who are new in this space. Most of them are came from hype, social media, and content creators who lure them by greed.
Emotion is a big player also when it comes here because everything is happy in the bull market so money is flowing everywhere because they are happy, they don't think about the downside, they are thinking it will go up. For sure it will be always a lesson for them.

[danherbias07]

The question of "when" is the crucial part here.
When are you going to sell? I always have my own rule of selling whenever I see the right profit during a bull run. I tell myself to deny greediness as it may lead to fewer profits than what I could've gotten if I did it earlier.
So far, it's working right.
The bear run question is also when you should buy. Is it the bottom to maximize the cheap price or will it still go down after a week/month?
Analyzing the market is such a pain in the ass but it's worth it once you reap the rewards.

[bittraffic]

There are so many people during bull runs that run out of cash because they like to buy all they could buy to ride the wave, which results with them losing a lot of money when the crash finally starts, it could go up a lot, and I mean A LOT, but eventually it will go down, so having a little bit of your profit cashed out could benefit you.

Same people sell a lot during bear run, whereas you should have cashed out at the bull run to take profit, and during the bear run when its low like this, you should go out shopping. Its low right now, and everything is looking delicious to me, I am running out of money from buying all these amazing coins and tokens, because I know they are at the bottom.

Have cash after you profit a good sum, but do not have any cash during bear run and buy it all.

It might just not be a good idea also to keep buying right now while the market is very uncertain. Remember that big names had come out to open telling 100% recession is coming.

While those new users of crypto come to buy at the top because they ride the bullrun, they might also do the same mistake in buying today while the prices of the crypto can go further below. Just a warning. Hold your cash that is enough to survive if the recession will take longer.

[mindrust]

Having cash is a position. A position which becomes useful in certain situations. Cash loses its buying power against the inflation but stocks/crypto lost their buying power against the dollar since their peak which makes the dollar a good hold since then. Lots of people bought btc when it was $40k+ and not many people want to buy now even though the price is much lower.

[worle1bm]

Yeah it's better to hold some cash as reserve fund with you to invest when you see some investing opportunities in the market at the time of dump but these principles are applicable to some good coins that can recover afterwards not for shitcoins which will never recover after the dump.But holding cash will improve your situation in the market and beneficial for you.

[cryptoaddictchie]

This is the bittee truth and we deny it or not newbie or even old timer was down right now and failed to profited their gains and instead still down up to now. The only difference is that some are selling at a loss which really not good. If we are down and caught by it. Then just hold, cause it will likely to go back. You cant simply outrun those smart guys or you should have been able to cash out some for the impending bear season.