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A bear market can represent a period particularly difficultespecially if it’s the first thing you encounter.
During this time, many people see their cryptocurrency wallets empty, and this is largely due to this. to very bad decisions during the market.
Here are a few that will help you navigate these troubled waters in the best possible way and get out of it unscathed. particularly important tips applied when the market is in the red.
Don’t panic, sell
It is the mistake they make many young traders and investors, and goes beyond cryptocurrencies.
Indeed, in emotional situations such as a bear market, this is the most important thing. remain impartial and objective in your decision making process. Letting your emotions determine your decisions is NEVER a good trading strategy.
Any investments you make during a bear market must be based on hard facts and well thought out. And that goes for both selling and buying, with FOMO just as bad.
Rationality, serenity and retrospective it should be your watchword as a trader / investor, especially when the market is highly volatile.
Feel free to reduce your losses
Conversely, it can also happen when you are so emotionally attached to your investment that you don’t want to sell it in the right environment. it’s costing you dearly.
During the bear market, many cryptocurrencies fell significantly. never peak again. It is important to keep this in mind and not try to stow your bags “at any cost”.
Trade is one question of balanceand therefore being too attached to your investments is just as bad as panicking at the idea of getting rid of them.
When the market falls, many beginners make a mistake. try to predict end of this phase.
This is wrong for many reasons, the most obvious of which is that impossible to predict this exact momentregardless of your industry experience. The market is unpredictable, and while it is possible to make predictions depending on the context, it is important to remember that these are only forecasts.
Also, by adopting this mindset the danger of paralyzing you and miss the recovery of the market.
When you are just starting out, it is called one of the best techniques you can use average cost in dollars. It only consists of investing a self-defined amount at regular intervals.
Just be sure Don’t miss the rest and you are the winner if the market continues to fall because you always have enough funds to invest.
Keep track of your mental health
Finally, never forget it Your sanity is more important than any cryptocurrency investment. It is important to calm down, take a step back from the situation, otherwise it can devour you from the inside.
Maintain a shared and long-term vision e Never forget these two things :
- Bear market periods are inevitable and are entirely part of the market.
- They never last forever
Patience is a virtue you must possess if you decide to trade cryptocurrencies. And if you really believe in your investments over time, then these fluctuations it shouldn’t even touch you.
Take care of yourself and invest wisely, only in this way can you survive in the cryptocurrency marketwhich is so unpredictable and full of emotions.
To not lose any of the cryptocurrencies during a bear market: