Adapting my HIVE strategy for both bear and bull markets

In crypto is better to hope for the best, but prepare for the worst. As I am in crypto since 2017 and I've lived a few market cycles and didn't capitalize on that, I've made a good exit plan for the next cycle. But while I hoped for that to be in 2024, it seems that crypto takes it time as Institutional adoption moves forward. And in order to navigate such times, I have decided to adapt my Hive strategy to cope with both bear and bull markets. With this in mind, going further, I will split my earnings into 50% Hive Power and 50% HBD which I will be depositing into Savings. And this will apply for every engagement and earning on the Hive blockchain, even if I get rewards only in Hive.

Why I have decided to switch to this strategy you may ask. Well, up until now, depending on the market conditions and my gut feeling I would go one way or the other: either sell my HBD for Hive, power it up and wait for the price to rise or sell my Hive into HBD and put in Savings for a 20% APR. But going this way I had fee opportunities pass me by and left me with some regret. Thus switching to more equilibrium, I will try to grow both my assets in the same time - Hive and HBD. Probably I will need to do a Power Down to have some liquid Hive to split between Hive/HBD, but will hold onto the current HP balance and continuously add the expected daily earnings to it, while using part of liquid Hive to convert to HBD. That's the plan, I will move to execute it and along with that let's see what benefits this strategy will bring me.

Improved and steady earnings through Savings

Depositing my HBD into Savings isn't just a way to park my funds; it’s also an opportunity to earn interest. Hive offers attractive interest rates on HBD stored in Savings at 20% APR, which means my funds are not only safe but also growing over time. This passive income stream can add up significantly, especially during prolonged bear markets when direct crypto trading may not be as profitable. And with a low withdraw period of just 3 days, I can only get my hands on my full deposit.

Adaptability and flexibility to market conditions

This dual approach allows me to remain flexible regardless of market conditions. In bull markets, my Hive Power can grow significantly in value, and I can leverage my voting power for higher rewards. In the same I can power it down and sell for increased profits. In bear markets, my stable HBD in Savings will act as a buffer, ensuring that I don’t lose any of my gains and providing liquidity when needed. This flexibility is simply what I aim for.

Balance and diversification of assets

By splitting my earnings equally between Hive Power and HBD, I am effectively balancing and diversifying my assets. Diversification is a tried-and-true method for managing risk in any investment portfolio. Hive Power gives me influence and voting power on the platform, which can be leveraged to increase my earnings. On the other hand, HBD stablecoin provides a safe harbor against the volatile swings of the crypto market. This way, I can ensure that part of my portfolio remains stable, even if the market takes a nosedive.

Reduced stress and simplified management

Let’s face it, constantly worrying about market fluctuations can be exhausting. By adopting this strategy, I can reduce my stress levels and focus on other important aspects of my life and investments. Knowing that a portion of my earnings is securely growing in Savings while another part is actively working on the platform gives me peace of mind. Plus, managing my portfolio becomes much simpler with this clear and straightforward plan.

By adapting my Hive strategy to split my earnings between Hive Power and HBD Savings, I’m setting myself more balanced in both bull and bear markets, while continuing to grow both assets. This balanced approach not only enhances my earnings and provides flexibility but also simplifies my life and reduces the stress of constant market monitoring. So, while the crypto world continues its wild ride, I can sit back a bit more comfortably, knowing I’ve got a solid plan in place. And who knows, maybe this time I’ll finally capitalize on the next big market cycle. Until then, I’m just going to enjoy the ride!

Posted Using InLeo Alpha