Hi @moosa27
Selling Bitcoin or stock is the same when it comes to taxes. If you sell bitcoin at a gain, you will be able to offset some of your capital losses. This is limited:
The IRS allows you to deduct up to $3,000 in capital losses from your ordinary income each year—or $1,500 if you're married filing separately. If you claim the $3,000 deduction, you will have $17,000 in excess loss to carry over into the following years and will pay taxes on $17,000 if the bitcoin sale.
If you want your best outcome, only sell enough bitcoin to cover the maximum loss allowance.
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