How to save your crypto when market is down
Spending money is part of our lifestyle. From daily diets, to household bills, and even sometimes buying clothes either for work and house use. Like me, most of investors had already put their money into crypto investment. But, this comes with a problem. Putting everything into crypto is quite dangerous. Imagine you need to pay your bills while maraket is down? Instead of earning with your crypto you'll lose more. I came up with an idea of loaning from institutions or individuals in order to save my crypto investment.
Back then when I only have 7000 Bitshares, and the price of Bitshares is only at $0.12 each and bills are already due. I decided to pawn my ATM in order not to use my crypto. I kept my faith believing that market will rise. I remember loaning Php15,000($300), waited a few weeks and then market exploded and my Bitshares increases from 7000 to 30,000 within a month. I manage to pay my debt with few earnings from that bull run. Imagine if I used my Bitshares to pay my bills and expenses I wouldn't be able to gain this much. I took my chances loaning money and decide not to use my Bitshares and it went pretty great.
Now, I did the same thing loan again from an institution, since my margin is already at limit($0.19). I'm hoping that by saving my Bitshares from converting it at a very low price. I will manage to gain more and will pay that loan before the due comes next month. But this technique doesn't end right here. You can also do this and buy more crypto and pay that debt when market goes mooning again. The best way to do this is loan from an institution, buy Bitshares, loan from Bitshares platform, and wait for everything to moon.
I hope that I manage to help you while market is still down. Remember just like on the Bitshares platform, only loan something that you can surely pay when due comes. Loaning too much will only make your life more miserable. Spend wise, save wise, live wise.
i think the best way is to keep 33% of your investment in tether, so that you can buy when market is really down like 20% and you should not rely on your crypto investment for bills.
That makes sense to me. I haven't found a reason to buy Tether, but this might be it. I've been keeping crypto-transactional money in bitcoin but it's pretty volatile to say the least.
keeping 33% tether keeps me confident that i have something for backup. but it is also important to decide which levels to buy at dips and if you are to sell at bounces to keep the 33% ratio or not. i keep 33% btc and 33% in alts the ratio between btc and alts keep changing but tether is almost always fixed.
Yes, I've done that also. But got caught when BTC corrected from 9300 to 8200. Open up some loan and now waiting for Bitshares to moon.
i dont have the patience to wait for anything to moon. i have to get out soon or else i end up making silly mistakes. having tether keeps me calm.
That sounds an awful lot like gambling, but if it works for you I'm very happy!
I agree with comment, unless you have decided to make crypto trading your business and depend on being a successful cryptocurrency trader for survival (all perfectly fine and acceptable); I wouldn't advise this strategy of markets mooning to pay bills.
With that said, playing with fire is extremely exciting, as long as you keep control and manage not to get burnt!
In your position, you trusted your instinct and made the right choice for you
Good job :)
Thank you @ imp.unity!
I know it's kinda dangerous, if things goes stay like this for a month, all I need to do is pay it with my salary until everything goes perfectly fine. It's a little experiment and my loan isn't that high on FIAT.
Hey, if you have a salary and you know you're in a position to hold out on your hunch until the market does what you predict, you're taking calculated and measured risk. You're not risking your safety, maybe just your comfort.
In life there is an element if risk to everything. The higher the risk, the higher the reward.
Just need to be smart and have an idea about what we're doing!
Good luck with all your future trades!
Thanks for sharing your experience! Upvoted :)