Be Prepared
I really hate to be a downer but while taking a bath this morning, @nonsowrites post about the future bear market came to mind.
For people like me who live off our crypto holding, you can't go wrong. Every step you take has to be correct, close to correct or take in some profit in some way. This is why despite all the excitement surrounding this bull run, I always find myself thinking about the aftermath.
The aftermath of this period will of course be a gruelling couple of years living in the wilderness with the bears. That period is meant for building and stacking coins for the unknown future run. However, the only way you'll be able to do something substantial in this period is by holding out some liquid cash from your profit.
This is something I've not been able to do recently but this is mostly because alt season hasn't even started yet. I'm hoping that whenever it comes around, I'll be able to jump on the train and end up with a fat stack that I could throw back into hive and power up for even sexier curation.
Anyways, this is just a timely reminder to everyone in the line of battle to stay vigilant and remember to pick your moment to strike the hot metal. Take out what you can take out and store your proceeds for the future. In the same way that we build for the future by hodling crypto for Fiat gains, hodling usdt or fiat for jumping into the future bear market is also a wise move to balance it out.
Posted Using LeoFinance Beta
Hello @belemo
It's a good reminder, really.
I don't think this upward trend in the BTC will last for months, so when it's over, and that bear season you mention comes around, you have to have cash to spare. Also, investing to have a better cure reward is a good option.
Not to lose your way is necessary.
Interesting choice of topic @belemo
Wow. That's quite dramatinc :))
Personally, I do not see any way that we could experience bear market in middle or long term. I would surely expect some pull-backs in short term.
Why?
Mostly because environment is very different now, comparing to previous bull runs. Right now we're witnessing huge expansion of balance sheets across all central banks around the world. Amount of "easy money" being pumped into the system will eventually cause losing value of that FIAT currencies.
So in current days Bitcoin is becoming less of an investment, but more of a "way to protect wealth". Demand will be increasing and supply ... well. Apparently 100% mined bitcoins are being purchased right away by Paypal and some other giants. That's also a game changer.
Yours, Piotr
Cutting off the supply and increasing demand. Institutional participation has generally been profitable in the short term at least. At the end of the day, Bitcoin will turn out to be like any other stock and will rise and fall with the market during an economic crisis or vice versa