Charlie Lee advises investors to take a profit when the market's doing well
With the Litecoin halving event scheduled to take place next month, which many in the community expect to supercharge the price of Litecoin. However, as Charlie Lee himself stated, the expected outcome of the halving event may be much more subdued than what many in the community are expecting.
Lee believes investors are beginning to understand this as well, given that
Litecoin's price actually declined prior to the previous halving. As such, market sentiment may be sensitive to the block halving which may negatively impact LTC prices.
“If everyone believes that the price will be weak in August and they sell, then the price will go down in August,” Lee said during an AMA on Chainnode on July 18. Lee adds that while there will likely be some short term price fluctuations, he isn’t concerned about any long term effects on LTC’s stability.
Lee, who sold all of his LTC holdings when it was
trading at an all-time high of around $350, is known as the “king of selling the rip” in China. One user asked how Lee knew the bear market was coming and sold all his coins at the top, Lee responded:
“I didn't know when the bear market will hit, but I did know that it was bound to happen. Having been in this industry for 6 years at the time, I've seen multiple bear and bull markets. We always overshoot both on the upside and the downside. So when the market has been going up a lot, it's always good to take some profit. That said, when I sold, I wasn't thinking of timing the high. That was just luck. No one really knew and I didn't know. I thought LTC might hit $1000 at the time.”