Create Your Crypto Investment Plan

Your preferred cryptocurrencies you want to HODL (Hold On for Dear Life). The HODL Mandate protects your conviction not to sell a crypto asset you feel will be great for the next three to five years. These are the crypto projects you are most passionate about and will hold for the long term.

RULE – Never dip into your HODL Mandate funds for short-term trading.

This gives you a structured way to act on market moves—so every decision follows rules, not emotions. You can have the same cryptocurrencies in both the protected HODL and in your Trading Allocation. If you sell your favorite cryptocurrency in the Trading Allocation, you always know you still have that asset in the HODL Mandate allocation, this allows you to buy low and sell high in the volatile crypto assets you know best.

Maria is very excited about the two Bitcoins she purchased; her investment is now up 20% in the past year. Today Maria is scared, she watched a video that the "Bitcoin Death Cross" is occurring tomorrow and multiple experts state that Bitcoin may lose half its value. So, Maria decides to panic sell all her Bitcoin.

The next day, the supposed death cross day, Maria is in shock when she sees Bitcoin is 40% higher, what is going on? She then proceeds to buy Bitcoin but now can only purchase 1.2 Bitcoins. She continues to watch in horror as Bitcoin goes down in price 20%, after she buys at the top, compounding her mistake. Worse yet, her portfolio is lower in value, on a day she should be celebrating. If only she just held on to her Bitcoins.

On October 25, 2019, the 50-day moving average of Bitcoin went below the 200-day moving average of Bitcoin (stock technicians call this a "death cross"). Many YouTube videos were published about this in the days preceding, predicting a large price drop. On October 25, 2019, Bitcoin increased in price by 40% from $7,500 to $10,500 while many short positions are margin-called, created forced buying.

In the example above, if Maria had 50% of her Bitcoin in a HODL allocation and followed trading rules that only allowed her to sell 25% of her Trading Allocation, she still would own 1.75 Bitcoins, and have some cash on the side. She would have a sizable gain for the day; this is an example of how an investment plan prevents you from losing value even when you make the wrong trading decisions.

Following a buy-low/sell-high approach requires a dedicated cash reserve within your Trading Allocation. Under the 80/20 model (explained later), keep 20% of your Trading Allocation in cash or stablecoins. This reserve lets you buy dips without touching your HODL positions, prevents chasing price pumps, and provides flexibility to act when high-quality setups appear.