Cryptocurrency prices have fallen, some projects have gone bust, and we’re officially in a bear market.
If you’ve been in crypto for a while, you’ve seen this happen before.
If you’re new to crypto or investing in general, a bear market occurs when a market experiences prolonged price declines due to overall economic conditions.
Here’s our top tips to thrive during this period and best position yourself for the next market run.
1) Determine your strategy
“Fail to plan, plan to fail.” This wisdom holds especially true in the volatile world of crypto.
And deciding to dump your life savings on a token that your friend said is set to rocket in price isn’t the type of “strategy” we’re talking about.
So, are you Dollar-Cost-Averaging? HODLing? If you’re day trading, consider what “edge” you might have.
Whatever it is, having a solid plan and sticking to it is a great way to set yourself up for success.
2) Remember that market cycles are natural
Cycles happen across all aspects of life, and crypto is no different. They rise, peak, fall, and the process repeats itself.
The key is to expect this and not fight the cycle. It’s not a bull market anymore.
If you’re newer to crypto, you may be surprised by how deep and quick the drawdowns can occur. Take a long term time horizon and recognize what part of the cycle we’re in.
Would you have been excited to buy at these prices when crypto was two or three times as high a year or more…