BTC to Tether for percentage gain

[Kelward]

So you basically want to sell for fiat and then if bitcoin goes lower you buy it back. You use the same amount of fiat but you buy more bitcoin because its cheaper. Sure this is a great way of doing things as long as we are in a bull market. But what will you do if you sell, and the price keeps going higher and higher? Or you sell and it goes lower and lower?

Best is just to hodl if you think it has more growth long term. This type of scalp trading never works out. Especially for new traders. You might get lucky once or twice and get a better average of your bitcoin holdings but eventually you will sell at the wrong time and buy at the wrong time.

The method sounds very profitable in theory but in practical it's not quite easy, because as you said, what if you convert your Bitcoin to stablecoins and price keeps going higher, that means that you're not going to miss out on the increased price profits, but I guess the method will be more profitable if price keeps dipping, because when you sale you'll have more Bitcoin. If it's an investor that's holding the Bitcoin, for long term purpose, then it's better just hodl the Bitcoin, knowing that on the long run, the price will always hit new ATH.

[1714557779]

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I'll keep this one short.

Question
HODL is common practice with many Bitcoiners but has anyone braved the risk of changing out BTC for a stablecoin to then change back into BTC when the price has significantly lowered to gain percentages?

One of the basic way to make profits From Bitcoin or any other coin is holding them and then sell when you know that the time is right but the problem with Bitcoin market is that there is not certainty, you can see Bitcoin at $70k today and in the next 24 hours, you see it in under $60k. So what some smart traders does is that they sell anytime the market has made a significant profits and buy back when the price is down again.

Doing this is risky as you may miss out but everything about Bitcoin is taking risk. For instance, you bought Bitcoin when it was $20k and then you sold when the price hit $73k, the price might go above that level but you u not and buy back again perhaps when we dip down to $40k, you will have accumulated more percentage of Bitcoin  and this process is profitable as long as you don't touch your trading capital.

Personal Experience
I have held & traded, personal view is that the trading aspect is exciting (within reason) as it yields percentage points. Having a risk assessed figure in mind then switching out to wait for the prolonged market decline to join back draws very few negatives from my view.[/center]

This method is great but there is one thing that one need to cut out, the urge to enter the market after you sold. Have you imagine selling at $70 and then Bitcoin went as high as $300k, will you be confident and less greedy not to fomo? If you can, then this method of accumulating more percentage of Bitcoin/more Tether will work for you for long term.

[Nrcewker]

This common practice is followed by almost all the traders mate. This is what trading looks like. You buy bitcoins or the desired coin when the price is down, and sell when the price goes up. Here you just telling us whether we use USDT or not. So yes many use USDT and many directly use the FIAT for this. So nothing new and astonishing here. It’s very common method followed by the traders in order to earn profits.

[Mpamaegbu]

Personal Experience
I have held & traded, personal view is that the trading aspect is exciting (within reason) as it yields percentage points.

Yes, trading is exciting. In fact, nothing excites like trading. The fact that one can make money from the confines of their homes or anywhere at all should excite anyone. I think people should endeavour to learn how to trade and jettison the 8-5 mentality, if they can. Add FX Trading and Stocks to the mix and you won't find the need to look elsewhere for a source of income.

Having a risk assessed figure in mind then switching out to wait for the prolonged market decline to join back draws very few negatives from my view.

Always find a way to take partial profit whenever your investment goes into profit. Then convert some to stablecoin and leave for the days of decline to buy the dip. That's how to survive this space.

[el kaka22]

I do agree that a lot of people tend to do something like this, but that doesn't change the fact that we are going to end up seeing people fail at it as well. Like sell your btc for fiat/stable and then the price goes up, so you fail to get better amount, that has to be the most important part.

I believe that the best thing to do would be just holding. This is why people hold, there is no reason why we believe that we can't make any money, we can definitely make some money, we just need to make sure that we know what we are doing, and usually that's the hardest part. I believe that readjusting to the market price is hard, and while we hold, that is a lot better and we just keep on making a lot of return by simply holding.

[tbct_mt2]

I do agree that a lot of people tend to do something like this, but that doesn't change the fact that we are going to end up seeing people fail at it as well. Like sell your btc for fiat/stable and then the price goes up, so you fail to get better amount, that has to be the most important part.

In a bull run that lasts for some months, more than one year, holding is key to get best profit. What you described is a most common mistake do touch during a long bull market. Want to maximize profit but we all can not predict the market well and accurately so we usually sell high with hope that market will correct down, then buy higher. We will still get profit by doing this but we will lose our bitcoins with it.

I believe that the best thing to do would be just holding. This is why people hold, there is no reason why we believe that we can't make any money, we can definitely make some money, we just need to make sure that we know what we are doing, and usually that's the hardest part. I believe that readjusting to the market price is hard, and while we hold, that is a lot better and we just keep on making a lot of return by simply holding.

Holding is best in a bull run. By holding, we also have a best preventive layer to avoid touching Margin, Leverages and Futures that bring bigger risk than trading with Spot. As said above, trading with Spot in a bull market is already bad enough for us to lose our bitcoin. With Margin, Leverages and Futures, it will be only worse and worse.

[tvplus006]

HODL is common practice with many Bitcoiners but has anyone braved the risk of changing out BTC for a stablecoin to then change back into BTC when the price has significantly lowered to gain percentages?...

This is exactly what trading is for, which allows you to sell coins that have reached a high and then buy at a lower price. But to make a profit, you need to be able to trade, otherwise the opposite will happen: you will buy at a high price, in order to sell at a low price later)