As you know, it is important to know all pros and cons of cryptocurrencies before entering into the crypto market. But along with the strong enter strategy, one should know when and how to exit the crypto market. You must have heard business giants saying that they "exit plan" but they share the one. So, here are the top 5 crypto exit strategies that will be useful for you in 2022 and beyond.
Exit and sell at price targets
For example: assuming that you own one whole Bitcoin, instead of exiting out of your entire position when it hits 100K, you can divide that up into five different sections or as many sections as you want to divide it into. So, you can grab one whole Bitcoin and divide it up into 5 different sections and sell them at different prices. That way you can make better profits.
Dollar-cost average out
It is one of the best strategies while purchasing any cryptocurrency and also an ideal option while exiting the market. You can set a selling plan of a day, week, or month and then a percentage you want to sell, for example, 10 percent a week, and you will be out of the market within 10 weeks (again with profit in hand).
Exit by return (%)
Consider you got into Cardona when it was at one dollar, well the moment you bought it, you should have a general idea of when you plan on selling it. So, for example, you planned to exit when Cardona hit two dollars and sell half of your position and play with house money or any other plan. It is important to write those strategies down and stick with them in order to get better returns.
Exit by cycle
It is one of the popular strategies people are following but, there is no guarantee that the four-year cycle is valid. Many investors look at the performance cycle of the cryptocurrency and then start selling and take profits while exiting the crypto market.
Exit by portfolio
Exit by portfolio or exiting out based on your financial goals. This strategy depends on one's individual goal. For example, you have invested US$10,000 in the crypto market, and you need 30K for buying something or paying your bills. It is ideal to exit the market when the currency hits 30K even though the prices keeps-on increasing. This strategy is not for all but an ideal one for many.
to get the latest news, exclusives and videos on WhatsApp
_____________
Disclaimer: Analytics Insight does not provide financial advice or guidance. Also note that the cryptocurrencies mentioned/listed on the website could potentially be scams, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. You are responsible for conducting your own research (DYOR) before making any investments. Read more here.
