Selling BTC

I don't know much about BTC, but a few years ago I was given the advice to buy bitcoin and I did, I think I put $8k in which is all I could afford. Then the price dropped and I was left with like $3k, but still left it in there. I checked again and it's at $7k.

The issue is I had a loss in my family and missed some work, and because I'm not salaried, I didn't have enough to cover July rent, so I sold $2k, and then transferred the USD to my checking.

Two questions: 1. I'm thinking of pulling out more or selling it all because, while I know it's a long waiting game, I don't like the thought is BTC tanking and me losing all that money, especially in my current financial situation.

1. Part of me has treated BTC like a savings account, money there even I need it. I know it's an investment. But when it comes to taxes, do I have to report what I sold? It makes sense to report the $2k if i originally put in $5 and it grew. But if I haven't actually gained any money more than the principle, why would I report it?