How and when to sell your crypto: a simple guide

It's hard to miss a crypto bull market, but what's worse is seeing it crash before you can make a profit.

Cointelegraph's latest video explains how to build your crypto exit strategy in a few simple steps.

Receiving profits means converting digital profits into real money. There are two main ways to cash out in crypto: convert your assets to stablecoins and transfer them to your crypto wallet or sell your crypto for fiat and transfer the money to your bank account.

Deciding when to sell, which crypto to sell and how much to sell depends on your financial situation, stage of life, risk tolerance and investment goals.

Avoid trying to overextend the market. Instead, set clear price targets for selling your crypto and determine the percentage to sell at each target. For example, if you invest $25,000 in a single coin, you can sell 20% when your portfolio reaches $50,000, 30% when it reaches $75,000, and so on.

A popular strategy is the “house money” approach: take out the initial investment as your investment grows exponentially and let the profits ride. This will reduce emotional stress as you have already secured your initial funds.

Remember, transaction fees and taxes can affect your net profit, so account for these costs. Ultimately, while holding crypto is beneficial, the goal is to use the profits to improve your life. Developing a disciplined exit strategy is key to achieving this balance.

To learn more about how to profit from crypto, watch the full video on the Cointelegraph YouTube channel – and don't forget to subscribe!