Selling Crypto With A Loss
This is a small rant but I see it everyday so I have to let some steam out.
It really bothers me when people see prices drop and they sell for a loss to "lower the losses". A guy in litecoin group wrote: "I sold, 25% loss, 75% saved".
Literally waiting a week would have him 0% losses. I don't understand the logic to ever sell when price is down. Just wait a week, the price goes back up and if you are a super panicky person don't do it at all.
And my biggest advice is, don't spend money on crypto that you can't afford to spend. If you have daily, monthly expenditures, first handle those and then spend the rest on crypto.
Sorry, this might not bring you too much value, but it's super common and I just don't understand it!
@originalworks
The @OriginalWorks bot has determined this post by @clairvoyance to be original material and upvoted it!
To call @OriginalWorks, simply reply to any post with @originalworks or !originalworks in your message!
Selling your position when down before the end of tax season is called "tax loss harvesting". You are using it to help offset taxes. Its a common practice. Plus when you buy on a swing you have to have an exit plan if you are a day to day trader. if you are holding for a long period of time and sell then 'yes' it doesn't make sense but then again the stock market or crypto market isn't made for everyone