RE: Portfolio Rebalancing Tool Using Google Sheets - Quadruple Your Earnings!
Would you address the comment posted by one guy under Giovanni post?
Quotation:
"maybe I'm just tired and not reading this correctly, but your calculation doesn't work.
If on day 2 when BTC goes up to 3000, and you rebalance "To rebalance your portfolio you sell the excess BTC and get USDT. This will give you a portfolio with 5 BTC and 13750 in USDT".
According to that you've just made USDT out of nowhere without actually selling any of your 5 BTC. I assume you mean that you sell 0.416 BTC to USDT which would actually leave you with 4.583 BTC and 13750 in USDT (the equivalent vales of both)."
and then:
"If you forgot to take away the BTC you sold each time in your calculations it would explain your crazy exponential graph.
After day 3 when BTC goes down to 2300 and you rebalance you'd actually have 5.281 BTC and $12,145USDT = $24290 value. Now this is still better than holding for sure, but does not put you in front of where you've started."
If you link his post or the comment in question I will take a look otherwise I think I'm missing to much info to provide an answer.
In general with stocks, rebalancing is best if its not done to much. I don't know the best timeline for crypto but I would speculate that its weekly or bi-monthly given the volatility.