Crypto and the exit plan
Good morning/evening.
Portfolio exit plans are essential in this market, I had/have one and yet I still managed to ignore it slightly! Yes in the beginning I went a little too much 'all in' even though I knew it was probably not the best thing to do. Also I had a few drinks and decided that it would be a good idea to buy a few meme tokens (all flatlined I think). I got greedy on a couple of perps and lost, I broke my own rules of when to take profits and exit. So what I am getting at is that sometimes even though you know you probably should not do something, you go ahead and do it anyway.
I talk about this cycle as my first and I am already planning the next one, and I am not all out of this cycle yet, but this was my 'lets try it and see what works' cycle. I experimented with many things and even trading styles, to see what suited me, but I also had a plan. It was even written down so there would be no disagreements between my husband and me lol!
The reason why the plan was so important to me is that in 2021 I did not know about cycles, hell I knew nothing, I had many Helium miners, no Bitcoin and a few really bad investments in some shady DeFi projects. I was doing really well with Helium and each miner was probably earning 1 or more HNT per day (now it is more like 0.1). What I really did not understand is that they could change the rules of the game whenever they wanted, they did this a lot, things like rural miners being penalised even though we had triangulated them to what was, an ideal set up in the beginning. Anyway it is what it is and the price per HNT went up and up to a high of around $50, Yes I cashed out some, but not many because I had no plan then and no idea about cycles.
Then I followed the price down, further down cashed out some more then it went down further and at around $5 per token at something like 3am I cashed out, not just my tokens but my son who had 2 miners, I cashed out his too. I wrote a post about that and all I remember is that I cried that night. Not so much for me but I had got it wrong and I felt bad for my son really. That was also a turning point for me, I was not going to quit, I was going to learn.
I spent a few months looking at Bitcoin watching and reading everything I could, looking at charts, even though I could not do TA (still can't to some degree) But I could see a pattern and that was a turning point for me and my husband really, I uttered the words 'no more, all I want is Bitcoin now'. I cashed out an ISA (there is an article about that too as the bank lost it) I was DCAing into Bitcoin, it was all going into Bitcoin, whatever HNT we earnt went into Bitcoin and eventually some SOL too, I was still learning and although I had said never again with DeFi, it took some time to learn there are good and bad DeFi projects, I was in the type that you never know if they will still be there in the morning, now I am in Kamino and Aave......Although still risky not nearly as bad as the sort of things I was in. Then I did move on, researched and had a varied portfolio of many ALTs as well.
The plan
My plan was simple but varied depending on the type of token.
Bitcoin, the plan was to hold some back as savings and sell the rest in stages, almost like DCA out.
Did I stick to the plan? Yes, I have sold some and will sell more as and when.
Solana, my second largest holding and the plan was pretty much the same as Bitcoin.
Did I stick to the plan? No I missed my first exit but do believe there will be another chance! I also have more metrics to look at now so it is not just hopium that I base my entries and or exits on.......Constantly learning.
Staking tokens, STACKS and TIA, the plan simply earn some rewards, unstake and sell.
Did I stick to the plan? No I waited too long to unstake TIA and by then the token price was down ....A lot, and still is as for the STACKS, I am not too bothered about that one as it still earns Bitcoin, but if/when the price goes up I will sell the lot.
Wild card ALTs, some call these low cap gems but the plan was to let them double in price, take out initial and leave the rest to run.
Did I stick to the plan? Yes mostly and had some good winners as well as a few s**t coins I still hold and will see if they run in Q4.I did actually have way too many to manage and keep an eye on
DeFi, Aave and Kamino, the plan was to use the borrow and lend when prices were low, buy BTC and SOL, pay it back when prices went up but acquire more BTC and SOL.
Did I stick to the plan? Yes as that was in my eyes the most high risk play I had. Liquidity pools have also mostly been exited and profits taken.
So although I did miss out on some ALTs I still think there may be a chance in Q4 and that is when everything else will go, as for BItcoin a percentage I will keep. There have been many lessons learned and there is still more to learn and that is my plan over the winter months to study and get ready for the next cycle.
What about you, do you have an exit strategy or will you HODL forever? Do you set yourself goals and stick to them or not?
As always thank you for reading and please feel free to comment.
