The future of cryptocurrencies seems compromised in the current climate. Inflation, rising interest rates, bear markets and a more than uncertain geopolitical situation. It is not surprising to see people looking for a way to cover themselves financially. However, what better than a bear market ? Admittedly, most cryptocurrencies, if not all, have seen their prices plummet. Investors are losing money and starting to get pessimistic. It is exactly in this kind of moment that we can find solutions to bounce back. And the bear market cryptocurrencies presents great opportunities. It will even create new millionaires according to a certain Lark Davis. And he does not say that in the wind. So, is it just a dream or a real opportunity?
- Why is the bear market the opportunity for cryptocurrencies ?
- Two techniques to become a millionaire
- Hope for a brighter future for cryptocurrencies ?
the bear marketa good opportunity for cryptocurrencies
The cryptocurrencies can make you rich even now. “Bear markets make millionaire. » This is how the famous trader Lark Davis starts his video. The latter explains to us that 98.5% of cryptocurrencies have seen their price fall by at least 90%. Even if we take bitcoin (BTC), we can see that we are $45,000 off its previous ATH. When it comes to ether (ETH), it’s much the same.
However, with these two cryptocurrencies, we can imagine a gain between 300 and 600% if we see the top again. As stated in this trader, the opportunities are there! It is when the weak hands sell that we can buy back at much lower costs. For Lark Davis, there is no doubt that people who ” will survive to this bear market will be the future millionaires at the end of the next bull run.
Of them tips to invest in cryptocurrencies
In order to allow a better success on the market for the most novices, it is important to remember the tools to invest in a bear market with prudence and success. First essential tool for any investor: the Dollar Cost Averaging. Indeed, remember that investing small amounts at regular intervals will smooth your purchase price. In other words, no need to buy exactly the dip. Just buy regularly. This technique is widely used by experienced traders. In an uncertain market, like the bear current, all the greatest use this tip. But it is simple to understand even for a beginner. This maxim sums up the DCA ” Chi va piano va sano e va lontano which literally means: “Qhe goes slow, goes healthy and goes far “.
The second tip for surviving this bear market while investing is this: keep calm and be patient. Indeed, we cannot yet travel in time nor arrive at the desired result any faster. So ” keep calm “. It is true that it is surely the most difficult, especially when watching the courses every day. The solution is therefore simple: turn off your applications and other information carriers. This will keep you from panicking. Instead, we advise you to open a book and take a walk outside. Either way, your buy and sell orders should never be placed in real time. Schedule buys at the prices you target, and wait.
After the rain comes the good weather?
Be careful, despite the beautiful words of Lark Davis, no one can predict the future. And sadly, a thousand things can happen before the next one bull run. We are never safe from the worst scenarios. We would like to tell you that things are simple, but that is not the case. As we can see, the European Union wants to put pressure on cryptocurrency owners. Even very recently, Christine Lagarde explains that she wants a second framework for the stacking and crypto loans.
We can also imagine that the central banks will do everything to limit the cryptocurrencies decentralized. States will increasingly legislate in order to put in place legal frameworks for taxing capital gains. A protocol attack can still happen or simply a computing power that would endanger certain blockchains. However, bad news always looks dramatic in bear market. Don’t be swayed by gloomy announcements. Keep in mind that the bear markets always have a taste of the end of the world. And remember this quote from Warren Buffet: You gotta buy when there’s blood in the streets. “. Or on the market!
So there are three ways to get rich in bear market in cryptocurrencies. Take advantage of the sales, use the DCA and keep your cool. If it is scary, the bear market is the best time to grow a portfolio. A good opportunity to buy all the cryptocurrencies that were eyeing us during the previous bull run. Because the next one will come one day. When that happens, people who seize the opportunity will see their risk-taking rewarded. Getting there is simple: method and discipline.
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