Volatility is your friend.

TL:DR you can use limit orders as insurance and hedge against volatility in order to maximize your gains.

Let’s assume that you have coin/token X. You truly believe that it has a great grows potential and you are willing to hold for a long term. You stake your coin/token or generate passive income on it and X is tradable on several exchanges.

Because crypto is volatile, and almost all the alts depends on the price action of BTC, we can assume that price of X can go up or down regardless of it’s value proposition. This is exactly why you should use limit orders as insurance and hedge against volatility.

1. You can transfer some % of your staking rewords to the exchanges
2. Wait until the price will go up rapidly
3. Sell on top
4. Sett limit orders with a 20-50% discount
5. Wait for the correction(like one we had today)
6. Orders are filled automatically
7. Repeat

Pros

Your main stack will not be compromised since you risk with a part of stacking rewords only. You can maximize your gains and take advantage of all the corrections that happen in the crypto space.

Cons

You are kinda trying to time the market which is impossible + coin swap is a taxable event in many jurisdictions. (You have to swap your tokens to stable coin, btc, eth in order to set limit orders) P.S You can always use crypto tax software in order to optimize and automate the whole process. You can read more about crypto tax software here

My own experience with that strategy

You have to be sure about X, it’s value proposition, growth potential and you have to be willing to hold for the long term. Since my proposed strategy is not trading per say you have to be patient, because it can take several month before order will be filled, and you have to look at the limit orders as an insurance only. When I say rapid grows I mean to go up 40% - x2 in a matter of couple of days or couple of weeks maximum. Everything else can be seen as organic growth.

So if you can be patient + you believe in the X + you understand reliance of alts on price action of BTC, then you can really benefit from volatility and maximize your gains without risking to lose your whole purse.

P.S bullish on X