What’s a better profit taking strategy? Sell Limit orders or DCA out?

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What’s a better profit taking strategy? Sell Limit orders or DCA out?

I am well in the green as I have been buying since July 2022. My stack has grown a fair bit and I am considering taking profits to help me get through college and buy a nice car after I graduate. I do not NEED the money as I have a good amount in safer index funds to get by. I am trying to decide on a profit taking strategy for when the day comes that I have “too much” money in crypto.

Would I be better off selling chunks of my portfolio at certain price points? Or should I take out 1% per month every month? I am planning on never selling all of my crypto as I want to hold into the 2030s. However I do want to mitigate risk and move some crypto into index funds.

Examples: Set 5 limit sell orders to sell 50% over time: – Sell 10% at 125k BTC – Sell 10% at 175k BTC – Sell 10% at 250k BTC – Sell 10% at 400k BTC – Sell 10% at 700k BTC

OR

Sell 1% every month as passive income forever: – 50k portfolio = sell 1% ($500) per month – 100k portfolio = sell 1% ($1,000) per month – 200k portfolio = sell 1% ($2,000) per month – 300k portfolio = sell 1% (3,000) per month etc.

Which profit selling stategy would be better long term? Which do you prefer and why?

submitted by /u/Evanbm2003
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