Thinking of taking profit in your altcoins? Here are 5 examples why that is a bad idea!

Altcoins have risen considerably in the past week. The surge in Bictoin (BCT) price has pushed most of the altcoins higher as they are quoted against BTC in markets like Poloniex and Bittrex. The increased demand of altcoins resulted in a breakout of the sideways (or even downward) channels these currencies were trading in.

To give an example, last week Ethereum (ETH) was trading 80-100 USD lower than it is now and Zcash (ZEC) also frequently found in the top 10 of coinmarketcap traded 60-80 USD lower a few days ago.
Now the question many investors are asking is: Should I sell my altcoins to take a profit?

Of course this depends on the currency, but on average and especially in top 10 cryptos, you can clearly see they have been under-performing versus BTC in the past few months. As will be illustrated by the 5 examples I am about to show you, you will do good by holding on to most of your altcoins for the moment.

1. XRP: Ripple did amazing in End of March, April and start of May with a high of around 0.00024 BTC, only to pull back in Mid may and under-perform soon there after. Currently it is trading at 1/4 of the price it has been. As can be seen from the graph below, there is a lot of room to grow for a currency that has a clear advantage in settlement speed and governance.
   

2. ETH: Ethereum is making up ground rapidly in the past couple of days. Lots of good news is surrounding the coin. Apart from the items already explained in one of my previous posts, it also became clear that credit card companies are now building on the Eherium blockchain as they are hiring ETH developers. ETH is now trading around 0.080 BTC which is only half of what it was in mid May. For a coin that is superior to BTC in almost every way, there is more than enough room to grow.
   

3. ZEC: Zcash, also called the #1 privacy coin had an incredible jump in may when JP Morgan Chase announced it would integrate ZEC into their enterprice Blockchain platform. Another huge jump followed in mid June, but ZEC was dumped during the bear market last month. ZEC is currently trading at around 0.07 BTC while it has shown to comfortably reach 0.17 a few times in June. For the currency that actually does solve the privacy problem, I see some big potential still.
   

4. DASH: Dash peaked in March this year. It did great on its marketing and the result was that it was priced 0.125 BTC! Currently it is traded at half that price. As a currency that was hailed for its governance and consensus mechanism, it too has a better technology behind it than BTC has. Also for this coin, there should be a lot more growth potential.
   

5. LTC: Litecoin has been performing better than most altcoins in the past few months. This is largely due to the fact that LTC was regarded as a good hedge if suspected that BTC would retreat in price. Of course LTC also suffered in the end, but not nearly as much as other coins. Having said that, LTC still has quite some ground to cover as it is now trading around 0.015 and has been above .020 BTC on numerous occasions. However LTC is trading near all-time highs, just like BTC is. If any coin discussed in this blog is a likely candidate to sell, it would be LTC. Especially taking into account the limited technological improvement this coin has made versus other altcoins.
   

Summarizing, I would be holding on to your altcoins for the moment as I see a lot of growth-potential for each of these 5, but also for quite a few others. If the technology is good and the coin has something unique, something that adds value over other coins, i would hold on to those at least until they are almost trading on par with their previous levels earlier this year.
Is this trading advice? Sure sounds like it, and yes it is. Do you need to do your own research? Definitely. You and you alone are responsible for your investments!

Good luck trading and stay tuned!

Sources:
https://bitcointalk.org
https://ripple.com/insights/xrp-compares-btc-eth/
https://steemit.com/ethereum/@kingscrown/ethereum-getting-new-big-exchange-crosses-300-usd-and-more-news#@attalis/re-kingscrown-ethereum-getting-new-big-exchange-crosses-300-usd-and-more-news-20170809t185521333z
https://www.worldcoinindex.com

Images:
https://news.bitcoin.com/bitcoins-rise-altcoin-index-suffers/