The current market for crypto is seemingly a world away from the situation which we found at the back end of 2017. Gone are the free flowing profits that the market of the time provided all comers. Presented with the current bear market conditions, many will wonder what to do with their current holdings and whether it is correct to continue on the crypt investment journey. What then should we consider?
A lot of your decision making will be influenced correctly by the size of your position. Many will be happy to keep a hold of smaller amounts and wait for an uptake. That being said, those with bigger positions which were hoping, or banking on a positive return, may be in a completely different situation. Nobody can tell you what your best course of action would be, just to consider the size of your position and whether you can afford to lose it.
HODL for Better Times
If you frequent many popular crypto forums or Reddit groups, you may see a lot of enthusiasm to HODL or Hold your investment and wait for more positive conditions. This is a strategy which, if you can afford it, has historically paid off. The situation is altogether different though if you were relying on a positive return which has now turned negative.
Buy More in the “Sale”
This is another piece of advice you may often hear from online communities. Those who have been around the sector for a long time may advise you to actually increase your position size, thus, taking advantage of the reduced values in the market. This can be well heeded if you truly believe in the project and are in the investment for the long haul.
The number one most important thing that you should not do in down times is panic. This can be true of all things in life, but in this case you investments. Panic selling is never recommended. Many who engage in doing so often rebuy again when they see the market starting to recover and repeating this trend only leads to big losses. Hold out if you can. Things will improve.