What are your thoughts on a BTC profit-taking strategy based on $200 increments?
What are your thoughts on a BTC profit-taking strategy based on $200 increments?
Hey everyone, I’ve been considering a new strategy for Bitcoin (BTC) trading and would love to hear your thoughts.
The strategy involves investing in Bitcoin and then withdrawing profits each time the price increases by $200, while leaving the original investment intact. For example, if I buy BTC at $82,000 with $10,000, I’d withdraw the profit whenever the price goes up by $200. This means that if BTC hits $82,200, I would take out the $200 profit, leaving the rest of my investment to continue appreciating with the price of BTC.
The goal is to lock in incremental profits while allowing the original investment to grow over time. Essentially, it allows me to benefit from smaller price movements without fully exiting my position.
I’m curious to hear the community’s thoughts on this approach:
- Do you think this strategy could be consistently profitable, especially with Bitcoin’s volatility?
- Are there any potential risks or drawbacks I might be missing, such as transaction fees, market timing, or missed opportunities?
- How could this strategy be improved for better long-term results?
If Btc movesfrom 82 to 82.2 then your 10 improves by $24. You need bigger movements and then have to factor in fees and spread.