Bitcoin down, "bad" news, what should you do?
As Bitcoin is down at the two months low. Negative aspects are coming all around the place, negative news, no light at the end of the darkness. What behavior should you have? What are you supposed to do?
Well, there are two things you can do in this case:
Buy and research which coins may have a better potential when the market will become a bull market.
Stay, hold, don't sell anything!
The first possibility is easy to live with, since you invest in a bear market, therefore the later profits are almost guaranteed. The only thing you should really pay attention on is, where to invest. Some people think, that they will invest in bitcoin again, expecting the bitcoin to double its highest ($40k), but that is "only" 5x compared to the actual price. There are many coins staying below their potential, their development team is strong and continuously working on updates, upgrades, projects, road map achievements. And once those projects are done, the coin become a monster in capabilities as well as in price. These coins you should research, ask, read news regarding these coins. Because you can easily reach a 100x gain on these. Nonetheless, your risk is lower than investing in bitcoin where nothing is predictable, not too many upgrades are taking place with bitcoin, except the rootstock. About rootstock in a later article.
A very important thing to bear in mind is diversification as an unwritten law for your investments. I mean, it is better to splash for example $1k in 5 different coins, than put all of your money on one coin. If you diversify, you have 5 chances instead of only 1. And believe me, there is potential. You can gain with all your five investments 10x, but you can have even more than that, to get on a coin which performs really well even 100x. Therefore, I support my statement od diversification and that there is not only BTC you can keep your investments in, there are few thousands of coins out there. Just have 5 good picks. Lazy people can invest in BTC only, there will be an appreciation of its price after the bearish market ends. But that is a hard way to step on, to wait a lot until the coin reaches the 5x or 10x is highly unlikely that it will be capable of. Diversify!
If you don't have reserves to invest:
Well, there are people running at max and they didn't have time to accumulate some reserves for this scenario. What you can do guys, is HOLD! Just hold, there is no other option. There might be in case if one coin goes lower than the other you hold and you may feel that there is a bigger potential in that coin, then you can sell yours at a "loss" and jump on the other one. For that, you need to be expertise in this field and to know what you are doing. The best option for this is to stay still. Stay still and wait for your time coming.
The most important about this is to understand and learn from your mistakes: be prepared for a bull market/sale time. Learn to have a reserve, just in case you can get into something really cheap. Therefore, when the next bear/bearish market comes, you have some imagination of what to invest in and you have the ammunition to do that.
Cryptocurrency as a game is easy to play! Buy the FUD and sell the HYPE. The knowledge intervenes when you know when to buy and when to sell. About that in a later article.
I hope you enjoyed and probably you learned some mindset related to crypto investments. Do not forget to upvote, to keep this running! Thank you!
There's only one thing you should do when Bitcoin faces a bull market: HODL and buy the dip. Bitcoin is the only coin that has a potential, don't waste your time, energy and money on coins that are doomed to fail when Bitcoin will finally rise again. Do that at your own risk and never put more money than what you can afford to lose.
Hi! I am on a totally different opinion, not as BTC is not good, but there are really serious projects out there such as steem, eos, cardano, ethos, neo, ubiq (half btc half eth), litecoin, siacoin, iota, tron, lisk, etc. Those have room to evolve. I used to use BTC as a tool to get from one coin to another, but it is riskier than others. I agree with never invest more than you afford to lose. But you need to diversify, not to be locked in one coin only!
I thought this was a very interesting article. With limited funds I stayed with Bitcoin, invested in four ICOs and a lending programme. I am definitely not going to sell at a loss. Although my resolve is being tested like never before I also don't have the trading experience nor the money some fat guys want me to spend. My strategy is to strike up a relationship with an honest experienced trader who sees beyond how much money he can make from me with his self-proclaimed expertise. If such a person is in this group and is interested in mutual help then email me : [email protected]
That's true, diversification is good, and there are some interesting projects in the cryptocurrency space. I do own some Litecoin, Ethereum, Ethereum Classic, Monero, Dogecoin and Steem, of course. They are currently offering something that Bitcoin can't do, and have room for improvements. However, with layer-2 solutions being developed every day, Bitcoin will replace all the other coins, sooner or later. It's all up to you: what do you want to do? Do you want to make money (I mean fiat money) or do you want to earn more Bitcoin? Your investment strategy should be based on that choice.
hallamhope, you can look for places on telegram, there are some groups where they give signals, I would not suggest you to go day trading yet. Just study trends, read articles, watch videos, get the basic/intermediate education and then you can start to contact people involved in this sort of trading.
fede93g: I think it is good to have a bit of everything and to be specialised on downtrends to be able to buy low. Patience and study of coins and their background is a good thing, to understand when and how is good to get into these. Rootstock won't come any soon, I am sure about that and if it will come, there will be a long testing period full of glitches and bugs. Don't forget about vulnerabilities a coin can have if its blockchain is vulnerable by adding a new characteristic to it. I would be precautious with these things. To understand better and to be able to decide between bitcoin or fiat, or cryptocurrency or fiat, as you like, there is one important thing: You always have to have some income (fiat) to be able to pay your bills, but then you can build up your strategy on Bitcoin (to get more of them). It is up to you, but even if you want more bitcoin, it is important to have fiat too. For example now, it is ideal to invest in from fiat money to bitcoin. This is why it is good to use all "financial" potential for your portfolio growth.