Why I'm SELLING My Altcoins When THIS HAPPENS (Taking Profits In 2025)

Summary

In this video, the speaker shares strategies for profiting during the 2025 altcoin bull run, drawing from their experience in previous market cycles. They emphasize the importance of knowing when and what to sell, advising viewers not to get too attached to any altcoins. Key metrics, including Bitcoin's dominance and global liquidity (M2 money supply), are discussed as indicators for taking profits. The speaker suggests rotating profits from larger-cap coins into smaller ones and warns that many altcoins won’t survive long-term. Ultimately, they stress the importance of having a clear exit strategy to maximize returns and minimize losses.

Takeaways

• 😀 Bitcoin’s performance in 2024 is mirroring its past bull markets, which is promising for the altcoin market in 2025.
• 😀 The biggest risk in the 2025 altcoin bull run is knowing when to sell, what to sell into, and not getting too attached to your altcoins.
• 😀 The global liquidity cycle and the M2 money supply play a crucial role in Bitcoin’s price movements, especially during rate cuts by the Federal Reserve.
• 😀 Bitcoin is expected to lead the charge in 2025, followed by large-cap altcoins and smaller-cap altcoins as the market cycle progresses.
• 😀 It’s important to track market dominance charts (like Bitcoin dominance and the 'others' chart) to know when to start taking profits.
• 😀 The strategy for taking profits should involve rotating from larger-cap altcoins to smaller-cap altcoins when market dominance shifts.
• 😀 Altcoins, especially smaller caps, tend to pump later in the cycle after large-cap coins have had their run, making them a target for profit-taking.
• 😀 Watch for significant drops in Bitcoin dominance (below 45%) as a signal to start taking profits, especially from larger-cap altcoins.
• 😀 Historically, over 50% of cryptocurrencies have died off since 2014, which reinforces the importance of taking profits and not holding onto dying altcoins.
• 😀 Bitcoin is seen as a long-term investment, with the belief that it could eventually exceed $1 million, making it a better store of value during a bull run compared to altcoins.

Q & A

What is the biggest risk in the 2025 altcoin bull run?

The biggest risk is not knowing when to sell, what to sell into, and getting too attached to your altcoins. The key is not how much you make but how much you keep.

What experience does the speaker have in the crypto market?

The speaker has been involved in the crypto market since 2013, having purchased Bitcoin and Ethereum, and has experienced multiple market cycles, providing them with valuable insights into profit-taking strategies.

Why does the speaker believe 2025 will be a great year for crypto?

2025 will be a great year due to expected global liquidity growth, with the Federal Reserve likely cutting rates, which would increase the M2 money supply, making borrowing cheaper and encouraging more people to invest in Bitcoin and altcoins.

What role does Bitcoin’s correlation with the M2 money supply play in the bull run?

Bitcoin closely tracks the global M2 money supply, meaning that as the money supply increases due to rate cuts, more people are likely to invest in Bitcoin, which leads to broader market rallies, including altcoins.

What are the key metrics the speaker uses to monitor the market?

The speaker uses several metrics, including the total crypto market cap excluding the top 10, Bitcoin dominance, and the 'Others' dominance chart to determine when the market is overheating and when to take profits.

How does the speaker decide when to sell large-cap altcoins?

The speaker watches for specific resistance points, such as when the 'Others' dominance chart shows a massive surge or when Bitcoin dominance drops significantly, signaling that altcoins are rallying.

Why is Bitcoin considered the least risky crypto asset?

Bitcoin is seen as the least risky because it has a more established track record, a larger market cap, and greater adoption compared to other cryptocurrencies, making it less volatile relative to smaller altcoins.

What is the strategy for rotating profits from large-cap to small-cap altcoins?

The strategy involves selling larger-cap coins (like Bitcoin, Ethereum, or Solana) and reinvesting the profits into smaller-cap coins that have not yet experienced significant price increases, particularly in sectors like gaming, AI, and DeFi.

Why should investors not get emotionally attached to their altcoins?

The market is highly volatile, and many altcoins do not survive long-term. Over 50% of cryptos have died since 2014, so it's crucial to take profits and avoid holding on to coins that might lose significant value or become obsolete.

What are the risks of holding onto altcoins too long during a bull market?

Holding onto altcoins too long can lead to significant losses, as many altcoins eventually crash after a parabolic rise. The market's volatile nature means that a majority of altcoins can drop 90-95% or disappear entirely, as seen with projects like Bitconnect and Terra Luna.

What is the speaker's personal strategy regarding Bitcoin during a bull market?

The speaker plans to hold onto most of their Bitcoin long-term, believing in its future potential to exceed $1 million within the next decade. They would only sell Bitcoin if absolutely necessary or if the price becomes overly parabolic.