Topic: Sell all to USDT when everything goes down ? - page 2. (Read 689 times)

Bitfinex’s CEO is also the CEO of a company called Tether Limited, which issues tethers (also known as USDT), a pegged cryptocurrency; that is, the tether’s value is pegged directly to that of the U.S. dollar. To do so, Tether commits to keep the dollar equivalent of all USDT value in reserves at all times. Tether offers a way to own and move fiat currency across different cryptocurrencies and exchanges without the need to convert crypto assets into dollars. That means transactions are fast and cheap, yet the price of the currency is as stable as the U.S. dollar, in theory. The problem is that it’s hard to say how well backed up the USDT really are. Bitfinex has assured investors that the cryptocurrencies it trades are backed up—but more vaguely than hoped: The exchange says it has adequate “resources” to back them up. If said resources aren’t dollars, it could be a problem.

You can always buy from other Tether bagholders

Where do you get USDT from? tether.io doesn't work 

It seems very possible to me that in a big crunch, Tether may prove to be unreliable and crumble in immediate value. If you can move to real fiat, that would be a lot better.

yah that's a good idwa to do that. If you do it you can increase the amount of your holding bitcoin amount and when everyone is making panic sell you'll be able to bag hold the coins which price is in dump.

Like others have said, it's difficult to trust Tether since a lot of this is printed out of thin air without any proper audits anywhere. In saying that, when the market is crashing, it might be worth taking the risk in converting to it until the market recovers. Another option is to sell your coins on an exchange that holds as USD (their own books) instead of USDT (tether books). For example Kraken or GDAX.

I don't think it's a good idea tho. Thinking if you sell it just to cut the losses and you're actually losing more with that, don't be impulsive seller just because the market is crashing. Always see the brighter side of it and that's buying more and hold more, you'll see in just a week everything will rise again. Everything is doing its usual thing so there's no need to worry.

That is a valid move when it is needed and you have no choice but to sell it to USD to maintain your investment. In a crypto currency there are some happenings and lots of surprises that's why it is very important to have a very quick mind to make a good decision.

If you sell your coins when the price goes down then, you will get very lost, but if you sell the coins before the price goes down then, it is a very right decision because you can buy it again when the price is below and hold it until the price goes back then you can sell it so you can profit from the difference between the buy and sell price.

Yes thats suggested to all of bitcoiners who want protect their profit and reduce the loss.
But one thing that i know, if you exchange to usdt then you might loss chance to gain more profit if the price back again to bullish. Thats the risk. Any options has its own risk.

First off, I'm talking about say imagine you want to buy 2 different altcoins.  But these altcoins at the moment, the price is too high.  You want to buy it at lower price etc.


Im not talking about selling it because of a dump.  Im talking about right now you want to have usdt on hand to buy altcoins.  So in order to do this, you obviously need btc since you cannot buy altcoins with usd or usdt.  You need btc.  So you buy btc... then immediately sell it for usdt regardless of what the price is.  Thus you wait for altcoin price to drop... then once it hits the price you want to buy it at, you then buy btc with the usdt and then buy the altcoin with the btc.  The thing is if you could just buy altcoin with usdt etc... then obviously you are not going to go through that step of converting it to btc first.


The thing is... anyone that buys altcoins need to buy btc first because you cannot go from usd or usdt to altcoin.  In my example, what do you mean trust your supported coin.  Im not supporting btc here.  Im supporting the altcoin.  Having btc is the only way to buy the altcoin.   Also say you want to have usdt on hand when a new altcoin is out or news about it comes on this forum and you want to buy.  If you have usdt... then you could buy it pretty much instantly.  If you are holding btc... then not only do you have to sell it... you might be selling it at a lower price than you got the btc from.  But if you sell the btc the moment you buy it... well the price should be around the same etc and you probably lose very small due to the percentage etc.  Lets put it this way.  Let say i have usd in my bank account right now and i want to spend 5000 dollars on a few altcoins.  Well in order to do this, im going to have to buy btc... which would take a while because you cant get btc instantly if you are using say coinbase etc.  So if you dont have usdt or btc on hand, you cannot buy altcoins instantly.  With btc... look at what has happened.  Altcoin prices dropped a lot so you could get ready to buy... but if you are using the same btc you are holding... that btc price dropped around same percentage.  5000 usd worth of btc would get you around the same amount of altcoin assuming both dropped at similar rate. 
 

That's kind of a stupid made by athe lot of newbies in the area of cruotocurrencies but sometimes it could be a good thing to do. It depends on what coins you own when the prices go down and what are your goals on long/short term. For example if you have bitcoin or ethereum or other coin that is on the market for a few ears selling it when the price goes down would be a bad thing because the price always grew up again in a few months. But if have some altcoins that are new and the price goes down a few months after they appear, selling them would be better because you it is gambling to keep them unknowing what is going to happen.

One thing that also matters is the reason why the price dropped so much. Study all the articles and opinions and find out if it is just a strategy that big investors do to get the price down so they can buy huge amounts or the prices goes down because something bad happened,for example a country wants to hurt the coin and proposes to add taxes to it or a big exchanger rwmoved the coin from their website because of bad reasons

It is an idiot move.
That is one hell of a panic there.
If you really trust your supported coin from the start then why doubt it.
Why sell when there is a dump that is happening.
This event should not be new to us anymore.

I had a thread on this as well. 


So when are a waiting to buy coins on a dip, isn't just making sure you have USDT on hand whether its on bittrex or binance very important?  Someone mentioned you should not sell your btc for usdt to do this.  So let say you don't sell btc for usdt.  Well now you look at all the altcoins and prices dropped.  However, if you use that btc you want to buy altcoins with now... that btc has basically dropped in price in terms of percentage similar to the altcoin.  So even if you buy an altcoin at a discount of say 5 dollars as oppose to say 8... you are still going to get around the same amount of altcoin for your btc if both drop similar percentages right?  Thus whatever money you have that you want to invest in altcoins, just make sure when you buy btc and get it, just sell it for usdt.  Then you wait for the dip... then once it happens and you want to buy altcoins at the lower prices, all you have to do is buy btc on bittrex/binance and then immediately buy the altcoin with the btc right?  So that way, you could get more altcoins at lower price?  Of course if btc prices goes up and altcoin goes down, then obviously it would been better to keep btc instead.  But if you are looking to buy altcoins at certain prices, then isn't making sure you convert the btc to usdt absolutely necessary?  Because say you have btc and want to buy alts and let say btc price stays the same and alt prices dropped.  First off if you were to do this, sending btc would take a while... thus don't you also want to make sure you have btc in your exchange account etc if you don't have usdt? 


Thus as long as you have usdt stocked up in bittrex or binance, then you are ready to buy the dips whenever you want?  Because if you have btc in your wallet... well sending it will take a while.  And altcoin price could go up even more.  And the other thing is when you sell it for usdt and keep it in exchange, you are ready to buy just like that etc. 

I agree with you. That's the best way to keep your balance safe when things go down. smart choice. then you can use usdt to buy when things are low

When everything is getting down, selling your assets is nothing but a panic sell. Remember last September, when everything was falling down, and how BTC grew again in a couple of months. Panic selling is what investors are always looking for, in a kind of cycle: investors and speculators said BTC -for instance- is going to disappear. Everybody begin to sell, so the price low itself, pointing investors to buy again at a really low price.

Then, after a while, they speak nicely again about BTC and pronostique all kind of beauties, so people begin to buy it again, and its price increase again and again, until the process begin one more time. So, meanwhile, there are tons of people making money, your money, and the money of all those whose BTC where sell in a moment of panic at a low price. In my opinion, when prices become low, the best movement is to stay, conserve your assets and wait: it will rise again.

yes you are right. if you sell in usd you will not loss.

Its not always the best decision. The prices of crypto currencies are always volatiles, going up and down frequently. Even if its going down nowadays it will increase again after a while surely, especially talking about the top poweruf coins. So holding and being a bit patient are the keys in this case, to make good profit.

No need to sell if you are already planted from the dip. But if your position is new and you are sure that your current position will be hit by the reyk. Then sell to USDT! Thank God theres USDT where I can hedge my cryptos during coins dumps just like whats happening now.

I think thats good idea but its not good when the crypto's have fallen down so much. I mean if you convert at this point then there is no valid point in doing so if we have bought the crypto's at higher rates than the current one. Its obvious thing that we will incur the loss though we convert it to the USDT or USD itself or whatever local currency we dive in. This is simple math and we should not be very sticky to it. Better wait for some more time and then we can see how the market perform in few days or weeks. This is the only right move at this point. Do not do unwanted conversions when its not needed. Better think about the brighter side when you hold and bitcoin go beyond the last ATH. :-) Selling at lower point and again try to see it go even lower could be very risk. Better hold and win the situation.