One of the best cryptography skills is to know when to sell or get out of the market.
This ability separates experienced investors from emotional merchants trapped in the whirlwind of speculation and greed.
In a bull race, the market creates an atmosphere of euphoria where prices shoot, promising profits that change their lives.
However, the story shows that each bull has its peak, followed by a strong decline that catches many offsembled.
By learning to recognize when to sell, you can block significant profits while avoiding devastating losses to keep active too much time.
As we are at the beginning of a bull race, we believe it is advisable to share some strategies that investors can use to maximize profits while selling their cryptographic assets, everything while avoiding possible difficulties.
7 best strategies to sell their coins in a bull race
1. Establish realistic gains objectives
One of the most effective strategies to navigate a bull execution is to establish objectives of realistic profits in advance.
The key here is not only to identify a price, but to have a clear and processable plan for when and how to sell once the objective is addressed.
Many investors are trapped in the euphoria of the increase in prices, hoping that their asset will continue to increase.
However, markets are unpredictable. What happens will eventually fall!
Here is a perfect example of the power of the realistic gain objectives: during the 2021 Toro race, BNB increased from less than $ 50 to a peak of $ 690 in May.
Investors who established profit objectives between $ 500 and $ 600 obtained more than 1,000% of ROI, while those who resisted for $ 1,000 saw missing profits as BNB collapsed below $ 300 months later.
To avoid disappointments, consider these steps to implement this strategy:
(to) Create multiple sales goals: Instead of focusing on a single price, plan to sell parts of your holdings after important price profits. For example, you could sell 25% of your holdings after a strong and fast price gain.
This approach helps him gradually obtain profits while benefiting whether the price continues to increase.
(b) Be attentive to market trends: : If the price is close to its objective but shows signs of reversion or a bearish pattern that is formed in the table, it is better to sell slightly below its objective than to risk losing the opportunity completely.
2. Use the average cost in dollars (DCA) for outputs
Trying to tame the absolute peak of a bull race is almost impossible, so the average cost in dollars (DCA) is such a valuable approach.
Instead of aiming at a single perfect point of sale, DCA allows you to sell parts of your holdings at various prices as the market rises.
This reduces the emotional pressure of the decisions of “all or nothing” and guarantees that profits are obtained consistently.
Take Bitcoin’s performance in 2021, for example. The price rose from $ 29,000 to $ 64,000 in April. The investors who sold portions at $ 40K, $ 50K and near the peak diversified their profits, avoiding the panic that was established when BTC submerged.
This strategy is particularly effective since it eliminates the anxiety of timing the market perfectly and helps ensure multiple price levels.
3. Pay attention to market feeling
Bull races are driven by a combination of foundations and advertising bombs, and understanding the feeling of the market can help you identify when to sell.
When everyone is overwhelmingly optimistic, and the main media are flooded with bullish predictions, it is often a sign that the market is close to its peak.
Paying attention to changes of feeling allows you to act before the hype becomes panic.
During the 2021 Toro race, the Doge currency showed a price -based price action. He shot at $ 0.005 to $ 0.73, largely due to Elon Musk’s tweets and the relentless bomb of social networks.
The investors that sold during the Peak Media Frenzy avoided the later accident.
This strategy works because it takes advantage of the psychological indicators. When emotion becomes unsustainable, it is time to ensure your profits.
4. Analyze chain metrics
The data in the chain offers invaluable information about market activity, particularly to identify when large players are dating.
Metrics such as whale wallet movements, network activity and exchange inputs may indicate that a bull executes is losing impulse.
Following these data points, you can have to have your exit along with whale investors.
Ethereum’s 2021 rally at $ 4,300 highlighted the impact of the chain analysis.
When Eth approached his beak, whale wallets began to download large quantities, indicating that smart money was coming out.
The smart merchants who monitored these data sold near the top, while others who ignored these signs observed a decrease of ETH to $ 1,700 or less in a matter of months.
Tools such as Glassnode or Nansen can help you track these metrics and make informed decisions.
5. INSUSTANIBLE PARABOLIC PRICE ACTION
When the price of an asset increases quickly and unsustainably, it is a clear sign that the market is overheating.
Sandbox (Sand) and Metahero (hero) tokens provide excellent examples.
Both currencies set up the Metorverse wave, with a sand increasing from around $ 0.50 in early 2021 to a peak of $ 8.40 in November.
Similarly, Metahero shot at $ 0.0018 to $ 0.25 during the same period.
Investors that sold during these increases in explosive prices locked in substantial gains,
However, those who expected greater growth saw both chips fall sharply as the market enthusiasm cooled.
The key conclusion is that extreme and unsustainable growth often precedes the main corrections.
By recognizing the action of the parabolic price and exit during these periods, you can protect your profits and avoid being trapped in a strong decrease.
6. Learn from the historical market cycles
The encryption market operates in cycles, and understanding past patterns can give it a significant advantage.
When studying how assets have behaved in previous bullfights, you can anticipate when a peak could occur and plan your exit accordingly.
Bitcoin’s Toro 2021 race was remarkably similar to its 2017 cycle. In both cases, BTC reached new maximums before correcting abruptly.
The investors who recalled the 2017 accident and sold to $ 60k in 2021 avoided the subsequent fall.
This strategy works because history is often repeated, and recognizing these patterns helps it to act proactively instead of reactive.
7. Sell confirmed news of exchange illiquidity
The encryption market is highly sensitive to the news, particularly when it implies the stability of the main exchanges.
Confirmed reports of an exchange that face liquidity problems can indicate an imminent collapse of the market, so it is a critical moment to sell.
History has shown us how devastating such events can be for investors that do not act quickly.
Take the collapse of Mount Gox in 2014 or the FTX implosion in 2022, which marked catastrophic recessions for the cryptographic market.
During FTX collapse, the news of its insolvency spread rapidly, causing the sale of panic and a massive fall in assets prices.
Many merchants who ignored the first warnings saw that their portfolios were annihilated, while those who left early retained their capital.
This strategy is based on staying informed through credible sources and acting decisively to safeguard their profits to minimize potential losses.
Conclusion
The pain of seeing profits won with so much effort to become losses may seem incredibly devastating.
Many merchants Aguantes too long, driven by greed or the hope that prices continue to rise, just to see that their portfolios falls apart when the market revolves.
The key is to have a plan and follow it. When establishing clear benefit objectives, monitoring the market closely and acting decisively, you can block profits and avoid being trapped in the accident.
Remember, nobody regrets having sold with profits, but many regret maintaining for too long.
In Crypto, time is everything, and knowing when to sell is the difference between winning and losing.
What sale strategy of this publication will adopt today? Share your thoughts in the comments!
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