I can only assume that most of us are watching BTC like hawks right now, with a mix of emotions. Why didn’t I buy more? Should I buy now? Should I HODL? Should I sell now?
And, to make things not at all easier, the answer is Yes.
I’ve been caught up in these parabolic upswings since 2018 with my very first BTC purchase, and they are every bit as exciting as they are painful. Why painful? Because we are uncertain of what to do. We get emotional. Here’s the good news, friends: You’re unlikely to get wiped out if you can find your sensibilities. This too shall pass one way or another. In past spikes, I got caught up in the FOMO and bought at the top. It felt like the end of the world when BTC went tumbling down, but it didn’t last forever. Mind you, there is every possibility that it could last quite a while. My 2018 investments took a few years to bounce back.
This time around, I simply don’t have the extra cash to buy into this amazing rise. I know my limits, even though I know I may potentially be losing out on an opportunity. I’m leaving the FOMO out of the equation and reminding myself that there will be a next opportunity somewhere some time.
No one, and I mean, no one, can tell you the top or the bottom of this ride. But I will tell you what I’ve been doing. I keep (small, because I’m poor, remember) reserves of BTC in two separate exchanges. One is my HODL account and one is my play the game account. On my ‘gambling’ account, I just sold $200 worth when this parabola began. And instantly kicked myself when the price kept climbing. But since I have my HODL account, it doesn’t sting so bad. I have another sell order in on my gamble account and it looks like we are fast approaching my magic number. Again I’ll sell $200 worth. Not all of it, but enough that I’ll once again kick myself if it keeps going up.
But you see, I’m not a high roller. I play with what I can afford to play with. When things dump it really does affect me, but when things go to the moon it doesn’t actually affect me, only my attitude and that is something I can choose. Of course I want to be an overnight millionaire, but I don’t have the resources to gamble it all. I can watch Bitcoin continue on to the moon and I’ll have wished I hadn’t taken out that $200. But. I will have $200 in my pocket. And guess what? It will be going right back into Bitcoin if and when it ever dumps again and ends up at a price that makes sense for me to go back in. In the meantime, I’ll have my HODL account to rub away some of the burn if I’ve withdrawn that $200 way sooner than I should have.
If you don’t have a crystal ball, figure out your strategy. One that can resist emotional buy and sells. For me, having that second account is my way to keep myself from going nuts one way or the other. And since Bitcoin is always going one way or the other, you have to figure out the strategy that works for you. More than just reading the pundit opinions. I mean what really works for you both financially and economically so that you don’t end up going bonkers. Or broke. My approach is not the right approach for everyone, but this is my get rich slow strategy that keeps me sane.
What are your strategies during these crazy bull runs?
