Profit-taking strategy in crypto trading: the secret to never missing an opportunity

In the world of crypto trading, knowing when to take profit is a matter of survival for any investor. One of the biggest lessons many people learn is 'never let greed take control,' as sticking to the expectation of 'just a little more' can make you miss the strong selling point. Lessons from Market Crashes During peak market periods, such as when Bitcoin hit $100K, many believed that the next peak would surpass $150K. Ethereum soared past $4K and Solana continuously reached new highs, creating an exciting frenzy. However, shortly thereafter, a significant market correction wiped out months of accumulated profits, emphasizing that while cryptocurrencies can skyrocket, a decline is always looming thereafter. Profit-taking Strategy: Sell When the Market is Strong The key point of this strategy is to sell when the market is in a 'greedy' state rather than a 'fearful' state. Instead of waiting for a distant peak, smart investors will: Set pre-sale targets: Do not let emotions dictate decisions. Planning with specific price levels helps you maintain your investment strategy. Sell ​​percentage-wise: For example, sell 25% when the price touches the first resistance level, then sell another 25% when it reaches even higher. This approach helps you take advantage of price momentum while still retaining part of the portfolio to benefit from the next growth phases. Sell ​​in the market's growth trend: When the market is in a "greedy" state, this is a good time to take profits instead of waiting for an uncertain peak. Real life examples from the market Some investors have successfully applied this strategy to coins like XRP and Solana (SOL). Instead of waiting for the "mythical" price – such as expecting XRP to reach $10 which never actually happened – they chose to sell at the right time when the market is booming, ensuring profits and minimizing risks when the market suddenly reverses. Important Reminder: 'Holding Forever' is Not Always a Smart Strategy Many stories of investors who "hold forever" see the currency they buy increase in price up to 10 times but then fall to near the original purchase price, even losing heavily. Practice shows: The majority of altcoins cannot consistently hit new highs with each cycle. The market always moves in waves: Instead of being swept away by the trend, know how to "surf" and take profits when opportunities appear. Even major coins like BTC and ETH are not immune to sharp corrections: No coin is completely immune to risk. Conclusion: Knowing When to Let Go is the Key to Success The difference between smart investors and those who become the "backbone of the market" is the ability to take profits at the right time. You don't need to catch the absolute peak of the market, just sell when there are still buyers. This not only helps protect your investment capital but also allows for profit accumulation over time.