Should I liquidate my alt coins and shift into more stable assets even at a significant loss?

The crypto market is not looking great right now is and my immediate instinct is to liquidate my alt coins into fiat and more stable cryptocurrencies which are pretty much guaranteed to last even an extended bear market (eth, btc).

The problem is a lot of my alt coins I bought quite high and would be selling some coins at a 50% loss so it would sting quite a bit to pull the trigger.

My alt coins aren’t even that small but I’d rather play it safe but not to the point of being paranoid. I have in order of worth: XMR, LTC, SOL.

Should I sell at a loss to more stable assets or hope that they survive a potentially extended bear market?

Edit: Alts make like 30% of my crypto portfolio. If they all go to zero it really sucks but it doesn’t mean I fall behind on bills or anything catastrophic like that.

View Source

31 thoughts on “Should I liquidate my alt coins and shift into more stable assets even at a significant loss?”

  1. Personally speaking I don’t think it makes sense to sell at a loss unless you urgently need the money back. Moving funds into ETH/BTC just means you’ll get less back when things turn around in a few weeks.

    Just my 2 cents in a similar position, not financial advice.

    Reply
  2. I am in the same situation as yours.

    I ain’t selling shit though. I have already lost too much against bitcoin. I’d rather hodl than sell at a loss.

    Reply
  3. Litecoin is a survivor, if nothing else consider holding onto that. You’re the only one who knows your situation so do what’s best for you. As for me, I’ll never let my LTC go.

    Reply
  4. >The problem is a lot of my alt coins I bought quite high and would be selling at a 50% loss so it would sting quite a bit to pull the trigger.

    This is the issue that people get into. They don’t want to admit a loss. Your thought process should be two fold right now.

    Does tax-loss harvesting make sense for me?

    Do I think that my current cryptos will give me the best return starting today?

    Reply
  5. Well best thing do do is dca, if the amount are not that high. If they are still worth a modest amount just convert and convert back when they dip

    Reply
  6. You shouldn’t be investing if you need strangers on Reddit to tell you how to handle your money. If you’re being emotional over something that you’re uncertain about then you should stop investing all together and so some serious research

    Reply
  7. Personally I wouldn’t. Increase your holdings in BTC and ETH by making your investments into those only for the time being.

    Reply
  8. Yeah I think we done here for a couple years now. Just make sure to grab some when it’s real low the end of the year or next.

    Reply
  9. If they don’t represent a vast chunk of your portfolio, I wouldn’t even bother selling if I were you.

    But you have to ask yourself if you could tolerate a full loss of your alt portfolio ; if you’re really bothered by these coins given the circumstances (you seem to be) ; and if you actually believe in these projects.

    In the end, it’s mostly a matter of mental. Whether you can live with a pummeled portfolio or not.
    In any case, don’t burden your brain.

    Reply
  10. I would never tell anyone to sell Monero at a loss. It’s a personal favorite of mine. LTC and SOL I don’t have an attachment to.

    Reply
  11. It depends
    How high is your risk tolerance?
    How long is your timeframe of investment?
    Do you see value in those altcoins?

    Reply
  12. I think all of those will bounce back in the next bullrun. I would just mostly DCA into btc and eth and do less DCA into the others

    Reply
  13. Depends on the structure of your alts and what teams are behind those projects. Maybe a good rule: do they feature prominently on TV today? If so, it’s probably fine because that project likely has more connections to survivability than random shit coin purpleplusmystard on the Beyoncé chain.

    Reply
  14. I’d hang tight. I am still holding all my alt positions. And I’d keep buying things you’re convicted in. Don’t throw the baby out with the bath water as they say.

    Nobody knows what the market will do. There could be more downward pain, but I think we’re at least in for more chop here in these lows for a bit. So it goes. Maybe it takes a couple years to recover, but like you said, you don’t need it. Are XMR, SOL, & LTC going anywhere? You make that call. At least let the emotions settle some before you pull the trigger.

    Reply
  15. Just send all to me,
    This sub full of shit cringe posts like this,
    Bro u do u and if u asking people to tell u yes or no u shouldn’t be investing straight up

    Reply
  16. An idea: Sell half into btc or eth and put into liquidity pool. You will earn fees overtime. I think the market is going for a long period of relative calm, which benefit to do that.

    Also you will convert half to btc or eth. Impermanent losses are possible but I would not worry too much, as they look like buying the dip piece by piece.

    Reply
  17. BTC and ETH make up 60% of my portfolio. I’ll take the risk with the 40% in my alts, I’m not selling.

    NFA but you need to do what is right for you

    Reply

Leave a Comment