It's a give fact that most of us trade Alts to increase our Bitcoin Hodlings. Having said that, I'd like to know if anyone follows a strategy to increase their fiat balance by trading it against Bitcoin.
when you make profit on your bitcoins you are in fact making more fiat too. and at double speed. because for example you buy an altcoin before its pump and then sell it on top of the pump and gain a lot more bitcoin. and bitcoin price is constantly rising in long term without exception. so if you have 1
BTC before pump and have 2.5
BTC after it and price goes from $1200 to $1400 you are making a lot more fiat. and you can keel 1
BTC profit and have total of 2
BTC in your investment and sell the 0.5
BTC for $700 and increase your "fiat hodlings"!
That makes sense but it also poses a threat of decreasing my bitcoin holdings as Alts have a high volatility. As bitcoin is slowly but surely expected to moon and USD is isn't so volatile, why not increase my fiat balance by buying at a -% drop and selling at a % gain (along with leaving 50% of profits in BTC/Alts). I know this is a really slow and long process but I'm looking to at least double if not triple my fiat balance every year.
I'm still working on the right combination of -% and +% (Current BVI for 30 days is 1.51%). Also looking for advice on staking? Should I go all with my fiat on per order or split it into multiple buy level entries.
Any suggestions would be much appreciated.