Before you sell your Bitcoin and other cryptocurrencies, think through this!
We have been in a bear market since the start of January. There have been a few ups, but in general, the prices are going down, and our cryptocurrencies are less worth than before. Investors here and there, including myself, ask themselves the question, should I sell my Bitcoin(s) now?
I am not going to write a long article, but I will just ask a few questions that I believe will help you answer that question. Just imagine the following scenarios. Which would hurt the most?
Scenario 1: Cryptocurrencies die out
You keep your cryptocurrencies and decide to be a hodler. But, after a few years you see that your entire investment has turned to zero. You regret that you didn't sell as you considered it in 2018.
Scenario 2: Cryptocurrencies moon like never before
You sell your cryptocurrencies today, the price of on Bitcoin might go down to 4000 USD and you feel smart, but then suddenly goes on a crazy bull run, and in a few years your initial crypto investment would be worth 10-15-20 times (or even more) than what you would get selling them today.
Which scenario hurts the most?
I know which scenario would hurt me the most. You should never invest more than you can lose, meaning that I will survive, even if I lose my initial investment. I can move on living with that and consider it a lottery in which I was very unlucky.
It will be much harder to live with the knowledge that I sold my Bitcoin and cryptocurrencies today, only to see the prices multiply ten times (and more) in the coming years. There have been people taking their own lives, knowing that they could have been multimillionaires today if they had kept their Bitcoins, but instead they decided to sell them early. They didn't manage to live with that. Would you manage?
I cannot imagine that cryptocurrencies and Bitcoin will go to zero in value, but I just used it in the example here for the sake of the intention of the article.
The goal of this article is not to tell you what to do, it is simply meant to make you think before you act. Buying, selling, or hodling might have big consequences on your life, so think through whatever you do, before you do it!