Re: It's getting frothy, and I'm dumping 75% of my coins
There is nothing magical about today's price or $1000.
They are your coins, do with them as you please, but if you want to lock in some profits, my advice would be to sell proportionally to the price.
Lets say you have 100 coins, currently worth ~$350K. Pick some number you are comfortable risking. Lets say $200K. So you sell the difference, $150K worth of bitcoins now. If/when bitcoin continues to rise in price, keep selling so that your remaining coins are still worth $200K. That way, not matter how high bitcoin goes, you will never completely miss the boat, perhaps one day you will only have 1BTC left, but it would still be worth $200K. At the same time, no matter how low it drops, you would have locked in a decent chunk of profit.
ANyway, thats roughly how I do it, and have been doing since $100/BTC.
And sure, "had I known", it would have been better to keep those coins, but I dont regret my strategy one bit.
They are your coins, do with them as you please, but if you want to lock in some profits, my advice would be to sell proportionally to the price.
Lets say you have 100 coins, currently worth ~$350K. Pick some number you are comfortable risking. Lets say $200K. So you sell the difference, $150K worth of bitcoins now. If/when bitcoin continues to rise in price, keep selling so that your remaining coins are still worth $200K. That way, not matter how high bitcoin goes, you will never completely miss the boat, perhaps one day you will only have 1BTC left, but it would still be worth $200K. At the same time, no matter how low it drops, you would have locked in a decent chunk of profit.
ANyway, thats roughly how I do it, and have been doing since $100/BTC.
And sure, "had I known", it would have been better to keep those coins, but I dont regret my strategy one bit.
Absolutely. Please take the advice of someone who believes 350 * 100 = 350,000. Excellent Plan.
Right, so I missed a zero. That of course completely changes the logic
doesn't change the logic, but there is a *huge* difference between 35,000 and 350,000. :-)
If you have 35,000 then my advice is to wait for 350,000. Not that it's a small amount of money, but 35,000USD is an amount of money you could actually earn from a normal, not so special job. So in my mind it's "riskable", $350,000 however is not money you could actually earn from a normal job. It's more like a decade of working at a normal job. So yeah, I'd hold out for the "ten years of not having to work a regular job" level.