We have been focusing mainly on taking advantage of the bear market. Let us not forget that the seasons are timely, and the bull season may be just around the corner. In the bull market, everybody says that making profits is easy. However, just a few people end up making profits in the end.
We look at ways you can use and position yourself to benefit from the bull market.
1. Taking Profits
You can indeed say that your portfolio was in profit at one point. Did you end up wealthier? Probably not.
Your portfolio value is meaningless unless it is realized. As we know, crypto is highly volatile. You may be on the profits today, and the market changes, and you are out by tomorrow. Always aim at taking profits whenever your portfolio is on the addition side.
2. Buy Early
It is no secret that most people got into this market when the general interest was at its peak. It is no shame, either. Consider buying, however, when the general interest is meager. Doing this will ensure you see the entire bull run from beginning to end.
3. Avoid Leveraged Trading
Seeing all these prices rise dramatically will tempt you to use leverage on your assets, especially when you are low on capital.
Crypto is so volatile; however, you will likely get liquidated before it increases.
You do not need it.
4. Rotate Your Assets
Many individuals will convince you to HODl. Especially project communities. Many projects, however, only have one big run in a bull market due to a news event or narrative. Once most of the releases are over (tip: roadmap), consider selling it for another one.
5. Take Profits in Stablecoins
While there are many different opinions on these, many people will recommend taking profits in BTC or ETH.
The truth is these assets also have never been bear-market proof. While the future of these is likely certain, consider stable investments.
6. Diversify Your Portfolio
Many individuals get so overconfident they would bet everything on one project with absolute pure conviction.
You are not above the markets, however; statistically, you are battling the odds. It is good to consider 4-5 holdings the perfect number.
7. Buy Quality Projects
Many will recommend you to purchase the next big memecoin. Often they will use $DOGE or $SHIB as an example. However, these are one in a million, and for every memecoin that succeeds, there are 1000 that fail.
Investing is a STATISTICAL game. Play it right.
8. Invest in Presales
Many like to purchase our projects at the lowest possible valuation (mainly in a bear market). Presales always provide these, even in the middle of an entire bull market.
A 5-10 x in a day is not uncommon here. Just make sure it is not a scam.
9. Have Capital on the Side
At the beginning of a bull market, most people would think to be fully invested and scale down near the end of it.
The biggest gainers, however, have always been new projects. Make sure to have capital on the side for these.
10. Do not Always Compound
Compounding interest is called the 8th wonder of the world. This is true in a risk-free environment. In a risky environment like crypto, this also means not taking profits.
One 95% drop washes it all away.
Takeaway
With all prospects at play, it may seem that we may be headed toward a bull market.
It would help if you focused on taking advantage of the period and accumulating profit. Stay safe and always, DYOR.
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