Jump to content

David Schwartz is not a fan of Hodling


Recommended Posts

  • Replies 42
  • Created
  • Last Reply

Top Posters In This Topic

Top Posters In This Topic

Popular Posts

Dave sold some of his XRP stash for over $10 MIL.  If I had 10 MIL dollars in XRP, I would sell right now and be done, regardless of what I think XRP is likely to do in the future.  That's life c

"I despise people who tell other people to "HODL" as a sign of faith and consider rational de-risking a betrayal or something. " HE IS SAYING: DO NOT LISTEN TO OTHERS. PERIOD. He is not saying yo

Statistically crypto investors that have held their position and ridden out the dips have done very well. My XRP is currently 17% in the red.  It has been over 50% in the red.  I have been in the

10 minutes ago, 2ndtimearound said:

Easy to say if you're not under water. I'm way up overall (sold in Jan 2018 originally) but my current bags are below my break even....this is a forced HODL.  I agree with the principle of taking profit, with the assumption you are IN profit to be able to take it :D

You only have a few choices when you're underwater.

I've been underwater plenty of times.  How I handle it depends on my position size. If my position size is small enough, I ride it out. If I've let myself get way too over invested in one asset, my strategy, which has worked for me before, has been to swing trade my way back to where I want to be.

This requires skill, time, and constant study of TA, something most crypto hodlrs aren't; good at....so I'm not telling anyone what to do.

Trading is work, and it requires knowledge, discipline and fast reflexes. And you don't win on every trade.

Another alternative is to dilute your oversize position by adding other assets with a different story. I do that every week now. I was once 100% XRP and soon it'll be less than 40%. The XRP position is static, not changing.

You know all this already. I'm just making this post for conversation over my morning coffee.  :)

Link to post
Share on other sites
9 minutes ago, crypto_deus said:

Every time Dave sold (ETH&XRP), market went up. Look what Dave is doing and then do the opposite. :)

David is right to de-risk, because market timing is definitely NOT his long suit. That much is very true. LOL.

Edited by dr_ed
Link to post
Share on other sites

Statistically crypto investors that have held their position and ridden out the dips have done very well.

My XRP is currently 17% in the red.  It has been over 50% in the red.  I have been in the red since Jan 2018.  I have never been tempted to sell because I have every confidence in Ripple and the team it has built to produce the product and strategy to succeed in the market.  If XRP reaches one dollar I will have doubled my money. 

IF anyone asked me for my unprofessional advice it would be to hold and be loyal to the team and products that you think have the capacity to do well.

Link to post
Share on other sites
3 minutes ago, Paramas said:

Depends if you want to keep your current car, or drive in a Lamborghini. Make sure you keep enough assets to succeed in the long term. Personal opinion ofcourse. Goodluck and happy investing.

Lamborghini make a  pick-up truck?

 

Link to post
Share on other sites
4 hours ago, iLeeT said:

Not surprising considering he sold most of his XRP stash.

He's right though, telling others what to do with their own hard earned money (hodl, sell etc.) is always a bad idea.

Are you sure you know how many XRP used to form DS "stash". Are you sure he has sold "most of it"?

Link to post
Share on other sites
3 minutes ago, spiras said:

Dave sold some of his XRP stash for over $10 MIL. 

If I had 10 MIL dollars in XRP, I would sell right now and be done, regardless of what I think XRP is likely to do in the future.  That's life changing money.  Why risk it for a chance at more?  I don't need more, no matter how confident I am that XRP will go higher.  Because no matter how confident I am, I could be always be wrong.

Now lets take it a step further.  What if I had 20 mil dollars of XRP?  Of course I would sell at least 10MIL.  Then maybe keep the other 10 MIL in XRP?  Best of both worlds.  I'm set, PLUS have investment for even more money.

Let's go further.  What if I had 30 MIL dollars of XRP?  First, that would never happen, because I would have sold a bunch of it at 10 or 20 mil.. but lets just say I did.  I would sell.

Now, Let's take David's example.  The guy had 16 MILLION XRP for a USD value of about 50 MILLION USD when he sold SOME of his XRP. (10 MIL USD worth.)

Why are we talking about this, again?

Remember, Dave sold XRP from ONE of his long standing XRP accounts.  The account had been established well enough in advance to be able to count as capital gains and a MUCH lower tax rate.  How do we know that he didn't BUY BACK the same amount he sold when the price dropped back to 30 cents?  HE likely WOULD NOT have placed it back into the same wallet and muddied what was newly acquired XRP with long holding XRP.. especially when he knew he was going to need to sell a little more to pay the tax man the following year (he sold another $1M USD worth of XRP on April 14th this year). 

He likely would have put his newly purchased XRP into a different wallet that you all aren't tracking and being a new holding period of that money so that it, too, could have been easily identifiable as capital gains in the future.

The point is, Dave is human.  He has a family.  He has grandkids.  He had many millions of dollars in XRP.  He sold some now, and is set for life no matter what else happens with XRP.  However, if XRP goes moon, he still has more XRP than probably anyone else in this forum.  So he's set.  He derisked, got many millions.  Is still stocked.

One thing XRP can't buy you is TIME.  He might as well start enjoying his money, because he can't buy more time later in life to enjoy it then.  

His comments on twitter are about the criticism he got for selling.  He's trying to explain it, but he shouldn't have to.  Him selling was not in any way related to his beliefs of what XRP might do in the future.  It was about derisking and getting millions now for his family. 

People need to leave the guy alone. 

Oh, Hi Dave 👍

Edited by BarryPotter
Link to post
Share on other sites

"Hodl" is an actual long term investment strategy.  Unfortunately, the state of crypto makes taking this kind of position an extremely speculative one and for many people that's a dangerous strategy when they invest non-dispensable income or savings.  As others said, David is really just telling folks to not blindly take advice from other people.  It's your money and you should enjoy the benefit of controlling it as you see fit.  If you want to hodl, great go ahead and hodl.  Just don't follow the crowd because the people to the left and right of you are headed in the same direction.  Make an informed decision for yourself!

Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.