Sell Cryptos or TSLA?

[Christine]

I'm buying a new home soon and while it will be a little more expensive than my current it's main purpose is to relocate. So not a major new cost.


Looking at my assets and wondering what to sell I can see that both my crypto coins (mostly BTC) and my TSLA shares have done much better than my index funds.


So which one should I sell down? AKA which one have the greatest potential future and should be kept?


I have some thoughts but would like to hear what you think?

 

[braumeister]

If you're not sure, why not sell some of each?

 

[njhowie]

Sell all of both.

 

[OldShooter]

Sell all of both.

+1

 

[Christine]

Might sell all of my cryptos. But not all of TSLA. That would be much more than I need. And TSLA isn't halfway there in the long run.

 

[Christine]

If you're not sure, why not sell some of each?

Probably what I will end up doing.


My logic is while TSLA is up a lot it will continue up in the long run.


Crypto is the wild card. My very modest investment has turned into a 20-bagger.

 

[CaliKid]

I always like diversifying so I'd sell some of each. Keep your investments spread out!

 

[OldShooter]

... My logic is while TSLA is up a lot it will continue up in the long run. ...

Really? Did your crystal ball tell you that?

Seriously, I hope TSLA and Bitcoin are not a significant portion of your assets. William Bernstein's caution applies:

“Do you think that by choosing a portfolio of only a few stocks that you hope will score big, you are maximizing your chances of becoming wealthy? Indeed you are, but you are also maximizing the chances of a retirement of cat food cuisine”
​

If you're just playing around with a few percent of your assets, have at it and enjoy.

 

[sgstaley]

TSLA is due to split soon.

 

[Mr. Tightwad]

Congratulations on the $ you have made in these investments.

If you would have listened to a couple of posters above, you never would have made the profits you did.

Keep up the good work.

 

[MRG]

TSLA is due to split soon.

One gets you five the end of the month.

 

[MRG]

I'd sell more bits than T. The best is yet to come in T. You have two or more big movers in the stock over the next couple quarters.

 

[jazz4cash]

TSLA is due to split soon.

What do you think the significance of this would be?
It’s smoke and mirrors IMO but it does seem to attract buyers.

 

[MRG]

What do you think the significance of this would be?
It’s smoke and mirrors IMO but it does seem to attract buyers.

++

Look at the recent action in both Tesla and Apple after the split announcement. Given the availability of fractional shares to trade it makes no sense to me, but I can't deny it.

 

[Blue531]

Since rates are so low, consider selling neither, perhaps. The potential for Tesla from now on is so strong, I wouldn't consider selling any of it now or in the coming years unless I had to. I own Tesla and this stock could make you a millionaire in the next ten years. I have no opinion on bitcoin because I have no knowledge of it.

 

[NW-Bound]

Unlike the thread by Aaron asking about how to replace the start capacitor in his AC, a question on trading a controversial asset like bitcoin or a stock like Tesla is not going to yield a happy outcome.

People either hate these or love them. Responders will either tell you to not push your luck and to get rid of them, or tell you to buy more.

It's better to toss a coin twice. The first toss is on whether to sell/hold bitcoin. The second for Tesla.

Hmm... How do we get a ternary coin for a sell/hold/buy decision?

 

[njhowie]

Since rates are so low, consider selling neither, perhaps. The potential for Tesla from now on is so strong, I wouldn't consider selling any of it now or in the coming years unless I had to. I own Tesla and this stock could make you a millionaire in the next ten years. I have no opinion on bitcoin because I have no knowledge of it.

The markets are so out of whack these days this is a common thought. But yes, Tesla the company has lots of potential. However, Tesla the stock is way, way, way ahead of itself. I really do not see very much which would indicate the shares should be worth 9 times more today than just one year ago.

 

[Christine]

++

Look at the recent action in both Tesla and Apple after the split announcement. Given the availability of fractional shares to trade it makes no sense to me, but I can't deny it.

Many cannot buy fractional shares. It's mostly an US thing. And not all US brokers offers those either. So this will help retail investors buy a little TSLA each month. Which is what I did until I could no longer afford a share each month.

Really? Did your crystal ball tell you that?

No crystal ball. But it's a growing company. And their energy play seems solid. So it will probably grow some more. The world energy market is a pretty large market. so even a small part of that is huge.

Unlike the thread by Aaron asking about how to replace the start capacitor in his AC, a question on trading a controversial asset like bitcoin or a stock like Tesla is not going to yield a happy outcome.

People either hate these or love them. Responders will either tell you to not push your luck and to get rid of them, or tell you to buy more.

It's better to toss a coin twice. The first toss is on whether to sell/hold bitcoin. The second for Tesla.

Hmm... How do we get a ternary coin for a sell/hold/buy decision?

My skin is pretty thick. So I appreciate the input I am getting. Or you could try throwing a dice?

The markets are so out of whack these days this is a common thought. But yes, Tesla the company has lots of potential. However, Tesla the stock is way, way, way ahead of itself. I really do not see very much which would indicate the shares should be worth 9 times more today than just one year ago.

Well I do. But then Bitcoin has been nice too. And much more difficult to predict. So I still haven't made up my mind.

 

[njhowie]

Well I do.

And at the end of the day, that's all that matters.

You asked for opinions, and you're getting them, so don't take them personally.

 

[Whisper66]

Which to sell? Consider the goals for buying each in the first place. Whichever feels like it has less potential to continue to progress those goals would be the one I sell.
For example, I would only buy either of those assets as a pure fun gamble with hopes of "getting rich quick". Haven't watched Crypto but do watch Tesla. If I owned Tesla, I'd be thrilled with the game so far and probably sell off my initial investment so I was playing with winnings only and not feel a loss if the evaluation fell to less insane levels.

 

[Christine]

I'm grateful for all your input. This is the first time I'm selling down my investments to buy something I need/want. When I bought my Tesla car a while back I used cash from savings.

Since it was that car that made me swap some index funds for TSLA it ended up being a good investment. Along the lines of investing in what you know and understand. Well - I realized that this car was far ahead of anything else I had driven. So I just had to get some shares.

My Bitcoins I bought earlier - and for pocket change. I kind of liked the idea and wanted to try it out. But that was more of a lottery ticket. I still don't claim to understand anything about Bitcoin and where it may go from here.

So some insight and some luck here helped me to counter other investments that did not go that well...

 

[KarlH]

So which one should I sell down? AKA which one have the greatest potential future and should be kept?


I have some thoughts but would like to hear what you think?

I would hold TSLA until after the split. Its been surging, and frankly people have an illogical desire to buy post-split because it seems so much more affordable on a per share basis.

 

[OldShooter]

... Since it was that car that made me swap some index funds for TSLA it ended up being a good investment. Along the lines of investing in what you know and understand. Well - I realized that this car was far ahead of anything else I had driven. So I just had to get some shares. ...

Be a little careful with this line of thought generally. A good company is not necessarily a good investment. Two different things, often conflated.

Here is investing patriarch Ben Graham (in "The Intelligent Investor") on the problem:

" ... we hope to implant in the reader a tendency to measure or quantify. For 99 issues out of 100 we could say that at some price they are cheap enough to buy and at some other price they would be so dear that they should be sold. The habit of relating what is paid to what is being offered is an invaluable trait in investment. In an article in a women’s magazine many years ago we advised the readers to buy their stocks as they bought their groceries, not as they bought their perfume. The really dreadful losses of the past few years (and on many similar occasions before) were realized in those common-stock issues where the buyer forgot to ask “How much?"
​

... So some insight and some luck here helped me to counter other investments that did not go that well...

This is why we diversify. If positions in Bitcoin and Tesla are small relative to one's portfolio, then one can safely have fun with them. Not all "insight" seen through the windshield, though, is also "insight" when seen in the rear view mirror.

 

[Christine]

Be a little careful with this line of thought generally. A good company is not necessarily a good investment. Two different things, often conflated.

I agree with you. To go more into the details - I bought a modest amount in TSLA just because I liked the car. But then I started to look into the company. And eventually believed it could be a good investment. Then I bought about 10x the first investment.

 

[tenant13]

I'm grateful for all your input. This is the first time I'm selling down my investments to buy something I need/want. When I bought my Tesla car a while back I used cash from savings.

Since it was that car that made me swap some index funds for TSLA it ended up being a good investment. Along the lines of investing in what you know and understand. Well - I realized that this car was far ahead of anything else I had driven. So I just had to get some shares.

My Bitcoins I bought earlier - and for pocket change. I kind of liked the idea and wanted to try it out. But that was more of a lottery ticket. I still don't claim to understand anything about Bitcoin and where it may go from here.

So some insight and some luck here helped me to counter other investments that did not go that well...

This is how I retired. When the orange iMac came out, I kind of fell in love with Apple and bought some stock but when the iPhone hit the market I went nuts and got a boatload. With the way things went Apple quickly took over my portfolio. I recently forced myself to sell a lot of it because now that I don't work it's nuts to rely on one stock for my finances... but is it? Investing in what you know and believe in it is in my opinion the secret of investing in individual stocks.

So going back to your original question: I would hold on to your BTC as a hedge to market volatility and dollar value. In my opinion stock market is right now the place where inflation shows - we all know that the fundamentals are not there for a lot of listed companies. It's also becoming apparent that we might be approaching a point where US economy - admittedly consumer based - simply snaps. There will be no money in consumers hands and once the evictions and foreclosures start there will also be no way to put that genie back in a bottle. As much as I'm not a fan of printing more money, I can't wait for it to restart. And in my opinion USD world reserve currency status will face serious challenges as a result. Hence my bet on BTC.