Crypto Crashing What Options Do You Have. crypto crash today? That’s a question we all have right now. I’m going to share the different options you guys have in this market and what you should do with your current holdings of bitcoin or all coins to make the most of it. Now, I’ve been in crypto since 2017, so I’ve seen it all.
The world of cryptocurrency is a volatile one – one day the price could be soaring, and the next it could be plummeting. What do you do when the crypto market takes a sudden dive? Join us in this article as we explore your options when it comes to navigating a crashing crypto market.
With the crypto market crashing, it can be daunting trying to figure out what your best course of action is. Should you sell or hold? What about stop losses? In this blog post, we’ll discuss some of the options that investors have when it comes to navigating through a volatile crypto market. Read on to find out how you can make informed decisions in these uncertain times.
For anyone investing in the world of cryptocurrency, there are always risks that come with it. But what do you do when the market crashes and your initial investment is at risk? In this blog post, we’ll explore the options you have when crypto crashing happens to discover how you can still make money on your investments.
Crypto Crashing
Crypto Crashing I’ve seen the crazy run ups, I’ve seen the crazy dips, I’ve seen the liquidations, I’ve I’ve seen all of it. So with all my years of experience, I’ve come up with four ways you guys can go about this with the current market conditions, and I’ll go through each option one by one, starting from the least risky and working my way up to some pretty risky stuff. As always, So without further ado, let’s get into it.
Crypto Crashing What Options Do You Have Okay, so the first option you have, and I would say is the most simplest, is to just do nothing and just hold holding on for your life, because let’s face it, it’s the easiest thing to do. It doesn’t require any work, and all you have to do is not look at your portfolio every day and you’ll be fine. Now, one thing to note with holding is asking yourself how long you plan to hold, because, yes, you can hold forever, but do you really want to? Because as I always say, you never really made any money in crypto until you sell it. So if you’re going the holding route and you plan on waiting for the next born to either sell or just ride it up to new highs, you have to understand that that’s not going to happen happen in the next couple of weeks, months, or even years.
I think we won’t see a real crypto born like the one we saw last year until at least 2025. And the reason is because of the bitcoin having, which is set to happen in 2024, and from history we can see that it takes about a year and a half, or maybe even close to two years after the having for the market to adjust and start its rally all over again. So I’d say if you can wait another three years and you don’t need the money on you right now, then just hold, because it’s better than selling and taking the loss. Now, I still think crypto will be going down further than where we are right now, Now, even if you do hold, you have to be careful because, yes, theoretically during a crypto bull run, we see the prices of everything rally, but how high will they really go?
Crypto Crashing What Options Do You Have, That’s the question you need to ask yourself, because if we take a look at coins like Stellar EOS XRP Tron, these are really big reputable coins in the space that have been around for a really long time. Crypto Crashing What Options Do You Have But if we compare the prices they hit during this year’s Bull Run compared to the previous one in 2017, we didn’t even come close to their old all time highs. So you have to be careful with the coins that you’re holding and realize that there’s a chance that it won’t pass its high that we just saw a couple of months ago. So just keep it in the back of your mind that even though we will see another Bull Run, there’s a slight chance that your old coin that you’re invested in will not go back to the price it that you bought it at. Now, at the same time, I don’t want to say this is not possible at all and it won’t happen because if you look at coins like cardano, chain, Link, BNB, they all did really well in this past bull market.
crypto market crash
crypto market crash So it just depends on the coin and how relevant it is at the time. Also, if you guys are going the holding route and you’re confident in the coin that you’re invested in, then look into staking it in the earning rewards that way, because it doesn’t make sense just to hold the coin for that long and get nothing. At least when you stake it, you can provide it helps the blockchain and get rewarded with more coins, which could be worth a lot more in the future. Now, each coin’s returns are different based on its blockchain and the coin. So maybe go through all the coins that you’re invested in and that you’re holding and see if they are stakable and how much you can earn from staking those coins.
Just one thing, if you do go the staking route, or just in general, please don’t hold your crypto on any exchanges. We’ve seen firsthand what can happen. So get yourself a wallet with your own keys or maybe even get a leisure wallet. That’s what I use and that’s what a lot of people in the space use. If you guys want the exact one that I use, I’ll put a link to it down below.
Crypto Crashing What Options Do You Have, Also, before we move over into the second option, I just want to quickly share this image with you guys. Now this is the crypto flow chart. Now this is how money flows through crypto. So when we see the next Bull Run happen or any other price movement, we’ll see bitcoins price start to rise first and then we’ll see all the all coins go up afterwards. So what smart people do do is when they notice bitcoins price starting to rise, instead of buying bitcoin, they buy all coins instead, because they know the money is just going to flow into all coins at a later point in time.
So just keep this in the back of your mind next time you see Bitcoin’s price start to rally. All right, now the second option you have is to sell the positions you already have and take the loss, but sit on the sidelines and wait for the price to come down lower than what you sold at that, and then buy the coin again. Now, in theory, yes, this is not a bad idea, but this is not for everyone. Mainly because this falls into trading now, and a lot of people just don’t have the emotional bandwidth to handle that. Because you have to understand you’re already down a lot from what you bought the coin.
crypto market crash today
And that’s already hard to bear for most people. So when you go out and sell your coin, it pretty much confirms that you officially took the loss. Now, you’re going to be authentic. You’re going to try to time the market perfectly to get back in at a better price. But then you see the prices start to go up, so you think the market is reversed, so you quickly buy and then the prices just come back down.
It’s just a whole cycle and a lot of people aren’t built to handle that. So my advice, if you’re going to sell and take the loss, you have to make a decision on whether or not you’re completely out or are you going to be on the sidelines. And whenever the price drops more, you’re going to buy some more. Crypto Crashing What Options Do You Have, And this leads me to my third option, which is selling all of your crypto and just moving on and never looking back. Now, chances are you’ve probably thought about doing this already.
It’s something we all wonder in the crypto space. Is crypto just not for me? Should I do something else? Because it just never seems to work. Now, what I do when I get these tasks is just zoom out and tell myself, there’s a reason why I got into crypto.
Crypto Crashing What Options Do You Have Now, everyone’s reason is different, but chances are it’s along the lines of making more money because you saw a lot of potential. Well, in order to see those crazy potentials, you’re going to need to see crazy drops in prices, because that’s just part of the game. And the thing is, honestly, it all just comes down to the cycle, because if you truly look at crypto, it’s just a really big cycle of ups and downs. And the people that sit down and just look at what happened in the past and realize how it can happen again in the future are the ones that will make the most money in crypto. I mean, let’s just take a look at history.
2013, Bitcoin dropped 50% 2017, 84% 2020 50%. And right now, I think we’re down like 70, 80%. And if you look closely at the charts, after each major crash, the same thing happened every single time. We see huge bull runs passing the highs that we set previously. Now, the thing is, we don’t see the price rally right away.
It’s usually a couple of years before we see the next bull run actually happen. Now I get it, these numbers are not easy to swallow. Seeing your portfolio going from one thousand dollars to two hundred dollars with an 80% drop is not easy to stomach. But remember, you knew this guy getting into it. You knew how risky crypto would be.
You knew you could lose a lot of money, but you also knew that you could make a lot of money and that there’s a lot of potential in this as well. Now, I’m not trying to convince you not to sell, that’s not what I’m trying to get at. I’m just saying these are all thoughts that everyone and I myself have faced while being in crypto. So my advice, if you can hold on, keep holding. Because you technically haven’t really lost anything until you sell.
Crypto Crashing What Options Do You Have, But for those of you that got in because of the hype and you don’t believe that there’s any potential and you’re down a lot and you feel safer taking your money out and putting it into stocks, real estate or bonds, then go for it. Sell your positions. Everyone has their own risk tolerance. But just remember, it’s always the same people that get out that come right back in when the bull run starts. And finally the last option you guys have, which in my opinion is the riskiest play, but it can also be the most profitable, is to short crypto.
Now hear me out on this. I know when you say shorting in the crypto space, people get scared, say, no,Crypto Crashing What Options Do You Have. that’s not possible, you shouldn’t do it, you’ll lose a lot of money, blah blah blah. Which I don’t understand because these are the same people that are shorting in the stock market. Okay, hold up, I probably should have mentioned what shorting crypto is, but basically shorting crypto is believing the price of the coin will go down and if it does, you make money off of it. Just think of it as the opposite to buying, because when you buy, let’s say, bitcoin at $10,000, you want it to go up to eleven or 12,000, but if it goes under 10,000, you’re going to lose money.
will cryptocurrency crash
And it’s the first thing with shorting crypto, you can buy at 10,000, but you want it to go lower. You want it to go to nine or 8000, but if it goes up to 11,000, you lose money. Now I’m not saying shorting crypto is easy, but it is doable. Especially when we already know what the outlook of the market is and we know the prices are just going to keep going down. Now there are a ton of exchanges out there that provide the ability to short crypto.
You have Femix, Bibit and plenty of other ones. If you guys want more in depth , just let me know. But if you guys are interested in those specific exchanges. I’ll put the link to the exchanges that I use that I think shorting is the easiest down in the comment section below. Now I know the crypto market isn’t the best right now with everything that happened with FTX and just the whole market being down a lot, but I really do think we’re going to go lower and I mean that in the best way possible.
Crypto has become very correlated with the stock market. Cryptos have been moving based on the news from the Fed and other macro environment news, and with everything that’s going on in the traditional markets with layoffs, higher interest rates, mortgage demands, dropping, lower earnings from companies, I really think we’re going to see the prices drop across the boards of all these traditional markets. And because of that, we’re going to see those effects come in the crypto market as well. Again, I’ll put it right up here.
Crypto Crashing What Options Do You Have, I share exactly how everything is related and what I think will happen with the stock prices as well. But for those of you looking for optimism, I know who things suck right now. But just remember, there is always light at this very long tunnel that we’re in and only the people that stick through it are able to see it. And if you want to know what I’m doing, I’m personally doing all four things I’m holding because that’s always proven to work. I’m also selling some of the coins that don’t think will pan out to the next bull run and just cutting my losses.
And I’m also shorting to make a few bucks because like I said, we already know where the market is heading. Hopefully it gave you guys some insight of what you guys can do during this crypto bear market. Like I said previously, if you want to stay updated with all things crypto.
Conclusions
Crypto crashing is an unfortunate part of investing in cryptocurrency, but it doesn’t have to be the end. With a little bit of knowledge and experience, you can make informed decisions about when to buy and sell your crypto assets and protect yourself from downside risk. If you’re interested in learning more about how to manage your investments during times of market volatility, there are plenty of online resources available that can help guide you through the process. Remember that no matter what happens with the markets, always do your research before making any investment decisions!
