We're currently experiencing a bear market phase. How do you intend to secure profits once the market undergoes a turnaround? What proves to be the most formidable obstacle in executing this strategy? If your intention isn't to convert profits back to fiat, kindly explain your philosophy regarding this choice. Newbies in this platform like me could gain insight from your past experiences.
I wouldn't call the current situation a bear market, Bitcoins are up around the 26,000 USD levels from their previous lows of 16-17,000 USD. Anybody who bought Bitcoins last year so cheaply made already a big profit today. Taking some profits today could be a strategy, as long as you have a plan what to do with your money instead. The rise in Bitcoin prices happened because of the big problems in the world right now and investors looking for ways to get out of Fiat money. For most peoples taking profits would mean to switch back to Fiat money, where they are faced with 5-10% inflation rates. My recommendation would be to only take profit if you really need the money right now. It would be better to wait for the price to go even higher, we were already above 30k USD and once the halving happens next year the price will rise again higher. I would rather use some Fiat money for anything that I need right now instead of selling some coins. And if you do want to reduce some BTC holdings, make sure you switch into some alternative investment that will lead to a higher return.