Topic: Long Term Holders - When Do You Plan To Cash Out? - page 6. (Read 1065 times)

For those people who are long term holders of btc or any crypto, do you have a plan of when you would sell it?  I am talking about the coins you are holding long term and not trading or selling short term etc.  Such that if you have a set amount of btc or crypto where you are holding long term.



Imagine someone with 5 btc which is a lot of money.  That is a lot of money even in first world countries but that isn't even enough to buy a house in many cities in a first world country.  But do people here have plans like okay the moment my btc or crypto is worth x amount of money, then I will cash out some part of it or everything?  



Now if someone has say 1 btc, they surely need btc to be at least mid 6 figures to even think about cashing it out if they want to think about retiring in a first world country?  I know everyone wants more money but if you have a few million dollars, that is more than enough for anyone even in a first world country to retire.  Having a million dollars in the US however doesn't make you rich anymore though from what I read.  But with people talking about price targets, it depends on how many btc you own for btc.  So even if btc went to 500k, well if you only have 0.1 btc, well you are not rich.  But someone with 5 btc is going to be rich.



The other thing is if someone has that much money, wouldn't it make sense for them to sell all their btc and basically invest in stablecoin and just earn passive income from it?  Imagine someone with 5 btc and btc goes to 500k.  That is 2.5 million dollars.  After tax, let say they still have at least 1.5 million.  But assuming they were holding long term, this number probably would be a bit higher?  But let say use 1.5 million dollars after taxes.  If that person takes 1 million dollars and then go buy a stablecoin like usdt and stake it on nexo or blockfi or gemini and earn at least 8%... they would earn 80k-100k a year in passive income in that stablecoin which they could then immediately turn it to fiat and cash to their bank account.  That is more than enough to live on assuming you do not have crazy expenses.  



Now obviously someone could also do staking of stablecoins if they earn a lot of money from stocks or real estate or whatever it maybe.  But wouldn't that be the smart thing to do if someone has that much money?  Putting money in a regular bank account make zero sense since you don't even earn 1 percent from it... more like 0.01 percent.  Also from what I read, with real estate, sure you earn money buying a house and renting it out but you gotta handle repairs and so many other things.  So it seems like putting money into stablecoins is the way to go assuming one has a good amount of money no matter where they earned it from?

There's no wrong actually if you keep your bitcoins for long term hodling, but its certainly not a smart move for a wise investor. Yes, you can hold it as much as you can but you can't hold the assurance if its value will always moves up. There are times that its price suddenly drops down and then you miss the chance again to make profits. So its a always a smart idea to set your target selling price so you will also gain profits and not just on accumulating more bitcoin. Investing helps you create profits and capital gains, so you should always find time to sell your coins at a good price.

One of the things I regret the most was not holding the Bitcoin I had acquired a few years ago, I didn't really need those funds but had cashed out a large chunk of them. Luckily, some of which was saved till now and was invested in DeFi projects and managed to earn a decent sum of money.

After this experience, I'm trying to save as much Bitcoin as possible. I'm not sure when I'll withdraw again, certainly not before surpassing the last all-time high. Currently, I'm not need of funds, thus, I'll keep on holding.

Im not certain if I can consider myself as a long term hodler since im not like others who can ignore their crypto even for long time because they can sustain themselves financially and not struggling.

In my case, I have set target price for my Bitcoin and altcoins on when im going to sell it. But I still take profit at times if my coins had a huge increase, this is to enjoy some of my earnings. Im holding some of my alts for few years now, but when it comes to my Bitcoin, there are times I get tempted to sell it especially if im really in need of money.

When bitcoin able to break that 20k then no one had expected nor anticipate that it could shoot up in 40k...

Once bitcoin hits 100,000$ I think it's a good mark to sell and buy again when the price crashes a little bit. This way it's possible to make some profit, while acquiring the same amount of bitcoin held before the sale.

Meanwhile, investing bitcoin in crypto banks such as the mentioned in OP can be interesting to keep earning passive income until bitcoin reaches on the price range aimed to sell. This way you won't waste any time.

Stablecoins are also an interesting adoption on this situation, because crypto banks offer very decent interest rates, superior to the ones they pay over volatile cryptocurrencies and also superior interest when compared to the ones paid by traditional fiat banks.

I feel you and this experience also costed me an opportunity of not taking advantage of BTC's volatility and inflation.

Back in 2017, I was privileged enough to participate into various campaign signatures where I earned a handful amounts of BTC during my stay. Since the price of BTC was relatively low (around $5,000-$6,000), the denomination and pay of each campaign signatures where high. Due to financial difficulties, I had to cash out my BTCs weekly in order to provide for my education and materials since I was a college student at that time.

Fast forward to today's year, if I did not cash out my BTCs from all the campaign signatures I have participated, I would have saved at least $30,000+ which could have granted me an opportunity to purchase a car for my dad. That is why, this expensive lesson taught me something- to at least cash out my BTCs if I direly need them. I could have worked my ass-off by doing part-time jobs but I chose the easy way out.

I almost try to keep investments for a 6 moths period at least, do you consider that not enough?

Everybody is in a different situation. Anybody who bought pre 2017 should probably have taken some pressure off their lives by buying a house or something. Never sell all your bitcoin, hell don’t sell over 50% but it’s a good idea to sell some to make significant positive changes to make your life better.

But assuming they were holding long term, this number probably would be a bit higher?  But let say use 1.5 million dollars after taxes.  If that person takes 1 million dollars and then go buy a stablecoin like usdt and stake it on nexo or blockfi or gemini and earn at least 8%... they would earn 80k-100k a year in passive income in that stablecoin which they could then immediately turn it to fiat and cash to their bank account.  That is more than enough to live on assuming you do not have crazy expenses.  

How is stablecoin interest taxed?
Many popular crypto applications like BlockFi and Celsius allow users to earn interest in stablecoin. In this case, your rewards will be considered ordinary income and will be taxed accordingly.

My philosophy is almost identical, so although I understand people who have an exit point, I would hardly decide to sell all the BTC I have because I think it is the best investment I could make. Of course, I sell some BTC from time to time, and use it for various small transactions - but at a time when fiat is drastically losing value, it feels good to have Bitcoin. In addition, we both live in a country where a lot of things can be bought directly with cryptocurrencies, which is another good reason not to sell.

While I do consider myself long term hodler as I hold some for ~6 years now and would sell it only in case of some emergency, I do spend part of my BTC at the regular basis because I think that its important to keep using it for what it was initially intended for.

For those people who are long term holders of btc or any crypto, do you have a plan of when you would sell it?  I am talking about the coins you are holding long term and not trading or selling short term etc.  Such that if you have a set amount of btc or crypto where you are holding long term.

If that person takes 1 million dollars and then go buy a stablecoin like usdt and stake it on nexo or blockfi or gemini and earn at least 8%... they would earn 80k-100k a year in passive income in that stablecoin which they could then immediately turn it to fiat and cash to their bank account.  That is more than enough to live on assuming you do not have crazy expenses.

I love the fact that the altcoin I held in my portfolio is having the potential to do wonders this season. Am positive that it's going to give me thousands of dollars in profits in no short time. Am not in a hurry to withdraw, am just being calm trusting their price movement. Probably by next year, I will consider trading them. Bitcoin will then be the last thing to trade when it has reached her ATH of $100k as predicted by many