While the bear market has thrown much of the stock and crypto market into disarray, many long-time crypto investors have shared their two cents on how there’s no need to panic with a longer-term perspective. Many of us can’t help but worry, but we have to admit that there is some level of truth to that point – which is why it’s all the more important to make full use of your time in this bear market as opposed to panic selling and actualizing all the losses you’ve made just in the past few months.
Here are three important tips to note, especially during the bear market:
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Remember you’re in this for the long haul
The 20k low of BTC was a high just several years ago. Knowing you’re not just invested for the here and now helps to give one a different point of view that stops you from just panicking, but rather making rational decisions to protect your hard-earned money. While some may panic buy or panic sell in large portions, the smarter thing to do would be dollar cost averaging, where you continually invest money over time and in roughly equal amounts. This will help to lower your per unit price over time, where you can take advantage of the market dip in a safer way than speculating and timing the market.
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Ensure your portfolio is sufficiently diversified
If you’re well-diversified, there’s a lower chance that you will be heavily affected by the volatility. Just within crypto, there’s a lot to choose from – whether it’s GameFi, NFTs, or anything from the wide plethora of DeFi projects. Ideally, you would want to be holding different tokens within your portfolio so that it’s not over-invested in one area.
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Review your current investments and invest in projects with a long-term potential as opposed to short-term fads
Binance CEO Changpeng Zhao (or better known as CZ) announced that he intends to leverage the crypto winter, so that Binance continues to stay relevant and comes out of the bear market stronger than before. Similarly, you would want your investment portfolio to come out stronger too – knowing that, it only makes sense to have your money invested in projects that will last through the winter and bring you more profits come summer.
In fact, it would make sense to have both older and newer projects in your portfolio to maximize your gains, as long as they are built on a strong foundation. An example of a good older project to hold is Binance, which needs no real introduction and has clear long-term plans to weather the bear market.
One of the best examples of a newer project with a strong use case is the MetaPocket Digital GameFi wallet that is compatible with all the top GameFi projects and currencies on the BSC; it is the only GameFi wallet out there that can help users to earn not just from the P2E functions of gaming. In-wallet, users can earn from yield farming, an impressive in-house sniper bot and more, which gives the METAPK token long-term utility since the wallet will clearly be around for a lot longer.
Remember, it may be scary right now but the worst thing you can do is panic. The crypto market isn’t going to become irrelevant yet – make the bear market work harder for your future!