Bitcoin price is rising up in rocket speed and penny-pinching mind is always yelling that hold.. hold and hold your Bitcoins. Don't convert to fiat or spend them. But, there's a big risk...what to do?. This is a question somebody asked me today.
I didn't answer at him, but, thought deeply about that and got the following mind.
If you've 10BTC convert 5BTC into fiat and wait until the remainder is reaching to 10BTC and do the same again.
Is this a good advice?
This is a good advice in a sense. That is diversification of funds. Diversification always mitigate risks. But diversification must be very tricky and timely. Bitcoin and Fiat are two quite different currency.Both has potentials. Undoubtedly bitcoin has better future prospect than fiat.Therefore investment in fiat instead of bitcoin is not a good decision indeed.