Letting the Dust Settle (Capital Preservation)

The bear market has come with a lot of inactivity and a lot of losses, lots of us have lost money in this bear market because we wanted to catch the trend. If you listened to most of those crypto influencers who made you feel like if you werent making money in this bear market you are wasting your time, then I am sorry, you must have listened wrong. I did listen to them and lost my money. Instead of just leaving them as StableCoins especially HBD and leaving most of them in HBD savings to earn 20% APR while its compounding. This is my first official active bear market, the last bear market I was a little bit distracted so I was not completely focused. While this is my first official focus bear market I have learnt some things about bear markets.

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Bear market should be the time to rest and study the market and look for potential gems that will pump in the bull market. It is also the best time to be patient and preserve your capital, although if you can afford to dollar cost average in during the bear market, I would DCA. Because as long as you are not going to use the money urgently, the bear market is a nice time to invest. You can’t time the market, except during major news events like the SEC vs Ripple case where ripple won and XRP pumped, if you were a trader and you longed XRP you would have been up more than 50% in profit. But aside that, when you are desperate to make profit in the bear market, you might just lose money.

Let the dust settle before you start investing if you dont want to want to dollar cost average in, learn that during this moment is when you have to conserve your capital, lots of people have lost their capital during this bear market period. Those that over traded NFTs and over traded memecoins, now the hype is own and value is more than 50% down, how is their capital doing? When the dust settles, it becomes one of the best money making opportunities. Capital preservation should be your number goal, imagine seeing money making opportunities when the dust settles and you can’t do anything because you lost all your money chasing the bear market.

Posted Using InLeo Alpha