Is it time to sell Bitcoin?
Looking back at 2020, it was full of interesting news in the market. Speaking the language of cryptocurrency, it was a year where the largest digital currency had a lot of ups and downs and people started to think about whether it’s the right time to sell or not. Well, this is not a simple question and you cannot expect a straightforward answer. Instead, we will go through some details to help you familiarize yourself with the whole situation better.
Did you know that back in the day’s Bitcoin was worth less than a dollar? There is one famous story about a person who owned 10,000 coins and used them to buy a $30 pizza. Yes, that’s right. Bitcoin had a very low value back in the days and ten years later, that amount of digital currency they used to pay the pizza would have been valued to millions of dollars. So, that’s the reason every trader takes extra care when it comes to selling Bitcoins.
The Main Indicators for Selling
Many signals can show you whether it’s the right time to sell Bitcoin or not, and they have nothing to do with the current situation on the market, they are connected to you. So, let’s see if there are some indicators that you might be missing, that can help you make the right decision.
We will start with the most obvious one, you don’t see any benefit from it. If you decided to purchase Bitcoin and you read all about it, looked at every information and you still don’t think it’s interesting enough, maybe it’s time to try something else. You know, there is not a single chance to become successful if you don’t educate yourself. And if Bitcoin is not interesting for you to improve the skills, read daily news and learn new things, it’s time to move on.
The second thing that might be an indicator is that you are waiting for someone to tell you clearly — sell your Bitcoin today. This means that you do not have enough market knowledge and you are not willing to create a strategy. Instead, you are relying on someone else to make the decision for you and that’s not how the market works.
Lastly, if you have achieved your goal it’s time to try other things, such as Ethereum or any other cryptocurrency. If we are looking at the main definition in trading, the only way to have profit is to sell your digital currency for more than you purchased it. So, if you had specific goals at the moment of buying and now the Bitcoin price reached that goal, it’s time to sell it. Setting a target is one of the best decisions you can make. This way, even if a market reaches an all-time high after you sell the asset, you won’t feel like you lost anything. You’ve reached your goal and moved to bigger things.
Of course, these are just some of the indicators and it’s totally up to you to make a decision. What you should keep in mind is that Bitcoin had an excellent year despite the pandemic. It reached the record high and at the beginning of 2021, the price was above $40,000. So, it took less than a month to double the price of Bitcoin and we all know that’s not a usual thing.
When is the Right Time?
The value of Bitcoin increased significantly, and we understand how tempting it can be to sell it. People who are new to the whole story might be confused but keep in mind one thing, Bitcoin is a currency that is here to stay. Still, if you believe it’s time to continue your trading journey with a different asset, just go for it. The cryptocurrency market is widely-spread and if you are ready, it will give you a lot of room for exploring.