So, lessons were learned... the hard way.
I've been filling my bags periodically whenever Near comes down in price. The plan was to hold it short-term and empty my position at the next high.
This works well for strong coins that I believe in. This way, I am able to catch alternating waves of various coins and tokens that I think are strong. The risk is not great if you do your research. It winds up being more of a waiting game, but since I use multiple coins/tokens the cycles aren't too long. This also allows me to use a "pool" of funds that I use to buy and sell multiple currencies all simultaneously.
I am a believer in Near. It seems like a solid project that will continue to get stronger. My plans kicked into high gear when Near announced a stablecoin.
The price quickly started to rise and that was the start of my problem. Seeing its rapid rise and continual attempts to hit higher highs in such a short time period, I hesitated to pull the trigger. It seemed like that there was a continual flirtation with high after high. Knowing that I was going to dump my position, I waited for the optimal moment. Well, I waited too long.
The optimal moment is when ready cash is in hand and after making a huge score. I didn't stick to my plan and I paid for it.
So, what should I have done? Rather than wait to exit the position in one move, I should have sold 25% of my bags at each high. It would not result in the highest point, but it would of averaged a pretty good high. Ultimately, it would have been a perfect end to my strategy.
Instead, as everyone is aware, the market took a huge hit. Near fell before this, and continued to fall with the market. Now I am holding my Near for much longer than intended. I am confident that it will come up to where I want to sell, but that was not the point of my strategy.
Lessened learn... the hard way.
Don't be like me... take your profits when you can!
Learning from My Mistakes: How to Sell
By Decentralized Bank | The Bank | 12 May 2022
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Decentralized Bank
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