Hi Mark! I really enjoy your writings and thank you for your effort. At the market cycle peak, would you ever consider shifting a percentage to physical gold as opposed to USD? I have always not understood the conflict between bitcoiners and gold investors as it seems that both could play a role in a portfolio and plan to shift some BTC into gold at market cycle peak; however, issue with physical gold is that its not easily transferred back into USD (for BTC). Additionally, would you consider holding any percentage in BTC through the bear cycle, as it does not seem that when you say that we will sell prior to market peak, it does not seem that you mean to sell all BTC. I am wondering if institutional buyers will capitulate like retail did in early 2018 or if the bear cycle in BTC will be less drastic. It is interesting what you said about taxes, that is part of what I like about DeFi, as from what limited research I have done, it seems that earnings obtained via lending / liquidity provision can by eligible for a lower tax rate. Of course, I know you cannot comment much on taxes. Thank you again :)
Hi Graham. I have dealt in physical gold, and it sucks. Not my thing. In general I do not use commodities as a portfolio asset but I think my financial advisor includes some ETFs in my investment portfolio.
When I sell, I plan to sell everything except maybe staked altcoins that I mention in my Altcoin Reports or recommend to Altcoin Insights subscribers. Yes, everything, even bitcoin. This is a total exit with the intention of coming back into the market later, once things settle down.
It's interesting to see how institutional HODLing changes the dynamics. Price moves based on people in the market, once you HODL you're out of the market therefore don't have any impact on prices--but the more bitcoin gets HODLed, that raises the floor for prices. Eventually you run out of sellers.
We know large buyers have committed to HODLing, we just don't know what will trigger them to SODL. Institutions generally have a portfolio plan or allocation target, some have already taken profits while others almost certainly have internal targets as well as stop-losses. I guess we'll just have to see. Most have such a trivial amount in bitcoin, they may be content to let it crash and write off the losses, or perhaps sell low to intentionally capture paper losses before buying in again. We'll just have to see.
Hello Mark, thank you very much for your response! I am a little more favorable to gold than most in crypto; however, this could definitely change in the future. I think the development of mesh networks (that could be useable by a non-programmer such as myself) and other more secure rails upon which the internet could persist (or more satellite options) in the situation where one vector is attacked or simply fails due to other issues, would really make the case for BTC even more appealing to me. It is interesting to me how alternative ways to serve the internet, along with alternative energy sources that could be used in the case of a issue with the power grid, are developing alongside alternative sources of value transfer. Those of us living in the U.S. are blessed in more ways than one, but I believe that some of the driving force behind ,and first users of, these technologies are located in regions of the world where there is ongoing violence / instability that I know I for one could not comprehend. And while I do see the electricity usage of the BTC network to be an issue, I just honestly do not see much of an alternative means of (securely) storing value for, for an example, a woman living in one of the regions of the world where women are traditionally not allowed to open bank accounts. I can, however, relate to the decision about staked tokens, especially when it comes to providing a stable coin as liquidity, the yield isn't as great but it is nice to be able to not have to worry about it as much especially with those gas fees. And by the way, (I am sure you already know about this) but there is a nice little website ( https://claimable.vercel.app/ ) and it can check your ETH address for any airdrops you may be eligible for; I was pleasantly surprised to learn that I qualified for the 2nd 1inch drop the other day. Hope you are having a good holiday Mr. Mark :)
Hi David! I will share my personal plans with Altcoin Insights subscribers.
As far as exit plan, I'll put together some info for a special issue AND put it into my plan for the "sell" signals, but I can't give specific advice because so much of this is based on individual circumstances. Still too soon to think about.
Hi Mark! I really enjoy your writings and thank you for your effort. At the market cycle peak, would you ever consider shifting a percentage to physical gold as opposed to USD? I have always not understood the conflict between bitcoiners and gold investors as it seems that both could play a role in a portfolio and plan to shift some BTC into gold at market cycle peak; however, issue with physical gold is that its not easily transferred back into USD (for BTC). Additionally, would you consider holding any percentage in BTC through the bear cycle, as it does not seem that when you say that we will sell prior to market peak, it does not seem that you mean to sell all BTC. I am wondering if institutional buyers will capitulate like retail did in early 2018 or if the bear cycle in BTC will be less drastic. It is interesting what you said about taxes, that is part of what I like about DeFi, as from what limited research I have done, it seems that earnings obtained via lending / liquidity provision can by eligible for a lower tax rate. Of course, I know you cannot comment much on taxes. Thank you again :)
Hi Graham. I have dealt in physical gold, and it sucks. Not my thing. In general I do not use commodities as a portfolio asset but I think my financial advisor includes some ETFs in my investment portfolio.
When I sell, I plan to sell everything except maybe staked altcoins that I mention in my Altcoin Reports or recommend to Altcoin Insights subscribers. Yes, everything, even bitcoin. This is a total exit with the intention of coming back into the market later, once things settle down.
It's interesting to see how institutional HODLing changes the dynamics. Price moves based on people in the market, once you HODL you're out of the market therefore don't have any impact on prices--but the more bitcoin gets HODLed, that raises the floor for prices. Eventually you run out of sellers.
We know large buyers have committed to HODLing, we just don't know what will trigger them to SODL. Institutions generally have a portfolio plan or allocation target, some have already taken profits while others almost certainly have internal targets as well as stop-losses. I guess we'll just have to see. Most have such a trivial amount in bitcoin, they may be content to let it crash and write off the losses, or perhaps sell low to intentionally capture paper losses before buying in again. We'll just have to see.
Hello Mark, thank you very much for your response! I am a little more favorable to gold than most in crypto; however, this could definitely change in the future. I think the development of mesh networks (that could be useable by a non-programmer such as myself) and other more secure rails upon which the internet could persist (or more satellite options) in the situation where one vector is attacked or simply fails due to other issues, would really make the case for BTC even more appealing to me. It is interesting to me how alternative ways to serve the internet, along with alternative energy sources that could be used in the case of a issue with the power grid, are developing alongside alternative sources of value transfer. Those of us living in the U.S. are blessed in more ways than one, but I believe that some of the driving force behind ,and first users of, these technologies are located in regions of the world where there is ongoing violence / instability that I know I for one could not comprehend. And while I do see the electricity usage of the BTC network to be an issue, I just honestly do not see much of an alternative means of (securely) storing value for, for an example, a woman living in one of the regions of the world where women are traditionally not allowed to open bank accounts. I can, however, relate to the decision about staked tokens, especially when it comes to providing a stable coin as liquidity, the yield isn't as great but it is nice to be able to not have to worry about it as much especially with those gas fees. And by the way, (I am sure you already know about this) but there is a nice little website ( https://claimable.vercel.app/ ) and it can check your ETH address for any airdrops you may be eligible for; I was pleasantly surprised to learn that I qualified for the 2nd 1inch drop the other day. Hope you are having a good holiday Mr. Mark :)
Oh cool, thanks for the link! No, didn't know about it - can I share with other subscribers?
Of course! Have a good rest of your week; we'll see if we get a close above 50K :)
Great. Look for it in the Sunday update. $50k already!
Hi David! I will share my personal plans with Altcoin Insights subscribers.
As far as exit plan, I'll put together some info for a special issue AND put it into my plan for the "sell" signals, but I can't give specific advice because so much of this is based on individual circumstances. Still too soon to think about.