How To Trade Crypto Cycles with Flood

Flood joins the host to distill pragmatic crypto strategies: Bitcoin conviction, perp-driven trading, capital buckets, and hedges.

Key Takeaways

Re-underwrite your Bitcoin thesis on drawdowns: rebalance or add if fundamentals hold, factoring monetary policy and dollar debasement.
Divide capital into living expenses, active trading, and long-term holdings; avoid commingling to reduce psychological pressure and preserve optionality.
Use spot-long plus short-perps overlay: perps finance entries, offer linear payoffs, and will likely capture much retail options volume.
Allocate to platforms enabling perps and full‑stack aggregation; be ready to rotate exposures as venue liquidity, UX, and execution evolve.
Prioritize capital preservation: selective shorts, hedges, LST arbitrage, and model buybacks/airdrops to size tactical positions.
Treat trading losses as lessons: study market “pop quizzes,” keep portfolios malleable, and generate cash to deploy into dislocations.
Think macro: AI offers asymmetric upside, expect prolonged political volatility, and consider gold or other hedges for crisis scenarios.