Armstrong started by saying that the U.S. dollar isn’t going away any time soon and that selling crypto is sometimes necessary:
“The dollar isn’t going away any time soon. A worst-case scenario of hyperinflation is possible, but it isn’t likely. This means the crypto system is not replacing the dollar in the next year. Ten years down the road, who knows? But for now, it just simply isn’t happening. You know those bills that you got? Well, they have to be paid with cash. Most of you aren’t in a position to play a long game and accumulate crypto indefinitely in hopes that it totally replaces our financial system one day.“
He next said that it is important to be clear about which cryptoassets you are going to hold long-term no matter what happens to the price and which cryptoassets you are willing to let go in order to make short-term profits.
In his case, he plans to hang on to the majority of his holdings in Bitcoin, Ethereum, Cardano, Chainlink, and (possibly) Polkadot. He is also going to try to increase the holdings in these cryptoassets if/when good opportunities arise.
Armstrong went on to say:
“You need to look at your altcoin portfolio and decide which projects are non-negotiable long-term holds for you, and which projects you are simply using for gain. For you, it may be all about the gains, and maybe you’re confident in the dollar and you want to cash out everything at the top of the market. That’s fine if that’s your thing, like no problem, you do you bud. The point is, you need a plan. You don’t want to get to the end of this bull market and try to figure out all this on the fly.“
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The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.