Late Night Crypto Talks 🚀 (Monthly Update)

Late Night Crypto Talks 🚀 (Monthly Update)

Welcome to another monthly update.

There is no question about it, this one will be crypto-related.

Bitcoin’s performance aside, most alts I hold grew for more than 50%. I always have a strange feeling when I use any variation of the term “altcoin”, as I’m unsure where to draw the line, but that’s a discussion for another time. I’ll share my holdings below and also a few successful trades I did. At least they seem so at the moment of writing.

Needless to say, I love months like these… When your net-worth grows at a multiple of your salary just like that.

Of course, you accept some volatility in order to achieve that – classic risk-reward type of situation and not everyone should do it.

But some want, can, and should.

 

 

 

 

Investment or Speculation?

This is more than just speculation for me.

Real ownership is scarce nowadays.

If you ever put an in-depth thought about the assets you’re supposed to own, depending on your residence status, you may have figured out that you have almost no control over them. Instead, most are actually owned by banks and governments.

On the other hand, you have a decentralized, distributed, anonymous ledger, consisting of every transaction ever made, as agreed by a rewarded consensus of the whole network. No single point of failure, no trade restrictions, no need of bureaucrat custodians. And most importantly, predetermined supply and global value – something that can’t be achieved with FIAT as long as any government can create more of it out of thin air. And although they share a lot of similarities, this goes beyond comparing crypto to gold or anything that can actually be seized, tracked, and regulated. No conspiracies. This happened.

It’s as simple as: own your keys, own your coins. Nothing more.

Reminds of freedom, doesn’t it?

Imagine writing a testament. For any overregulated assets you own, the beneficiaries/inheritors will need to go through a chain of processes of which they have almost no control over. Ultimately, someone else decides what and how much they’ll get. It literally can’t happen without multiple third parties involved. And of course, inheritance taxes will be imposed on everything. I’m not saying that it’s not a straightforward process to pass on your wealth to your wife after you die, but as you’d imagine, I’m also against welcoming the government in one’s intimate life. I don’t need a contract to be with someone. My girlfriend also doesn’t. You also don’t. And “getting a joined mortgage” should be the last reason you’re considering marriage – you should look for a house you can afford instead.

Back to the will… Compare it with simply sharing private keys. No institutions to approve anything and absolutely no government control. Of course, you shouldn’t share your keys with anyone just yet and I can think of a few ways how to make sure that this can happen only after you die. Let me know if you’re interested in the details, I’ll write a post about it.

Some Trades

As you may already know, my largest position is in Bitcoin, around 50%, but I also own numerous altcoins as well. Some of them I plan to HODL and some I’m fine with selling for a profit and allocating the gains in BTC or ETH. Of course, this depends on the phase of the cycle we’re in. I wouldn’t put a cent in crypto if the market tripled in value recently.

This month’s early winner was Stellar Lumens. I’ve accumulated XLM around the 0.04€ price range, consistently buying the dips. In mid-July, it grew to more than 0.09€, effectively more-than-doubling my money in EUR. I sold 30% of my holdings for BTC – which was still trading at around €8k.

I seldom consider converting the profits to FIAT, as my expectations about the crypto market are extremely bullish. You should read my Bitcoin Forecast if you still haven’t. It contains a detailed explanation of the reasoning behind my portfolio allocation. And it is crypto heavy, especially for the personal finance/FIRE community’s taste.

My expectations, coupled with seeing various altcoins jumping in price while coins like BTC, ETH, LTC, and XRP showed somewhat stable prices, made me do a somewhat substantial investment in the middle of the month. I distributed it between the above-mentioned Bitcoin, Ethereum, Litecoin, and Ripple. It’s not the only investment I made in the past months, but certainly a larger one. Otherwise, I’ve been buying ETH and LTC continuously and I’ll always increase my positions if they’re below 200€ and 40€ respectively.

And these prices represented ETH and LTC around the middle of the month. However, they ended up trading higher than 320€ and 50€. Bitcoin surpassed €10k yesterday. Ripple is more than 60% up in the monthly chart at the moment of writing.

Needless to say, I’m super happy with my purchases, but not realizing gains just yet. Again, I’m expecting a 2017-like bull run which may or may not have already started.

I’m super comfortable with any pullbacks on the road… Most probably will happen right after I publish this post. 🙂

And also, I’m super excited about the future! 🚀