The third step in positioning for the next Alt Season is having an exit plan. No matter how good you are with research, no matter how your portfolio grows, you’re here for the profit, and you should know when to take it. There has been a common plague among investors of getting too greedy. While doing your research, you will want to check for the last ATH of the coins/tokens, previous price spikes, and their causes; these might serve as a guide on when to take profit. There are different rules you can follow, but you will want to follow one that aligns with your risk appetite. Examples of these rules include the 2x rule, the capital rule, the 10x rule, etc.
As the crypto space continues to grow, the bearish season holds a hamper of opportunities by ripping cryptocurrency prices off the hype and euphoria leaving them with their true potential and value. As the market condition is characterised by low engagement and buzz, this provides the best time to learn, build, and spot gems!
Alt Season offers exciting opportunities for investors. However, it demands careful planning, analysis, and execution. By thoroughly researching potential investments, implementing strategic buying, and having a clear exit plan, you can position yourself for success. Warren Buffett’s wisdom, “Be greedy while others are fearful, and be fearful while others are greedy,” rings true in this volatile market. By adopting these strategies, you can navigate the complexities of the crypto world with confidence, seizing opportunities when they arise.