What to do when crypto prices are crashing?

[AlexFr]

Despite crypto prices down, Bitcoin, Ethereum, and many other cryptos are still considered good investments.
How can a crypto investor manage risks when crypto prices are crashing?
Stay calm
Before you hit the panic button, take a deep breath. Emotions won’t help you in making a wise decision.
Stop reading social media influencers because they just use the situation to get more visibility.
Ignore volatility
Remember that crypto is a forward-looking asset for traders and investors.
Analyze the situation
Many actual developments can affect the crypto prices, same as fundamental news can also drive the crypto prices up or down. But wise crypto investors look beyond today’s news.

Consider how to act
You should create an action plan which will reflect your investing strategy.

Whichever way you decide, it's important to find the right crypto exchange to buy or sell your bitcoins and altcoins. Many investors use EvBlock crypto exchange because it is a reliable and trusted partner.

 

[Shaf]

It's normal that when cryptocurrency prices are falling, people panic and sell. It's a human reaction to situations like this that pose danger. Very few would hold especially when price has been on a consistent downtrend for months like this, and sometimes, it's more rational and better for your portfolio and peace of mind that you sell.

See, holding a coin that will potentially lose 99% or cutting your loses at 10% or less? Most people do not have the right trading strategy or any strategies at all, and we HODL with diamond hands till we are rekt.

If there's any coin worth trading or holding when cryptocurrency is going down, it is Bitcoin. This is because of its more relative stability and it's lower volatility compared to the others. At least, you can be sure that you won't lose 20% or more % of your portfolio in a day. This isn't the same for altcoins and.tgats why it's best to stay away from them till things settle down.

 

[Ithedicious]

Currently the price of all cryptocurrency are down and to a lot of investor this is one of the most trying moments , because definitely their crypto asset will depreciate in value and there is nothing to do about this , most especially for people who were interested to hold their cryptocurrency for long-term prognosis


I don't know , the little I have invested which is not even up $50 in the crypto space has depreciated to a point I could never imagine , but whatever the case maybe I don't really have to be so surprised of this because before I came into the crypto space, I was made to understand that the volatility of cryptocurrency could make a lot of people lose their money . For people who are interested to hold their cryptocurrency for long-term purposes shouldn't take it as a big deal , after all no matter how long it will take the price will surely recover and return to its original price.

 

[AlexFr]

Currently the price of all cryptocurrency are down and to a lot of investor this is one of the most trying moments , because definitely their crypto asset will depreciate in value and there is nothing to do about this , most especially for people who were interested to hold their cryptocurrency for long-term prognosis


I don't know , the little I have invested which is not even up $50 in the crypto space has depreciated to a point I could never imagine , but whatever the case maybe I don't really have to be so surprised of this because before I came into the crypto space, I was made to understand that the volatility of cryptocurrency could make a lot of people lose their money . For people who are interested to hold their cryptocurrency for long-term purposes shouldn't take it as a big deal , after all no matter how long it will take the price will surely recover and return to its original price.

Same.
The crypto market is developing. There will be many ups and downs. I use my own strategy and hold some % of my cryptocurrency to use it in the future.

 

[coin456]

Just stay calm and let the volatility decrease. Once the volatility decreases, look at the price chart and then figure out where will the price go. If you believe in the crypto project HODL it.

 

[cashisking149]

It depends on your end goal doesn't it. If I am looking to trade it then I am still looking at shorts since there is no break of structure in BTC. If I am a short term investor I might consider moving unpegged assets to stable coins and earning yield on them although the UST situation has likely scared many off doing this. Finally if you are a long term investor in crypto or anything for that matter, ask yourself has anything fundamentally changed with the asset class or asset you have invested in that is negative? If not dollar cost average your position and buy at discount.

 

[Suba]

When the Crypto Crash market will certainly worry about most Crypto investors, especially for those who hold shitcoin in large quantities because it is likely that the price of Shitcoin will be eroded close to zero. But if you hold the Bluechip Crypto and other Crypto potential, no need to worry, and no need to do anything except to wait for the bullish market. Crypto Crash Market is also an opportunity to increase the amount of our crypto investment by buying BTC, Ether, BNB, there is Solana etc., because we hope that next year the price will rise.

 

[Sotherefore]

I don't know about other people but I am completely immune to the volatility of cryptocurrency because this is not just the first time I have experienced this , it has happened before in the past and will continue to happen and there is nothing for us to be panic here , because no matter how long the bearish market will be it will definitely be bullish one day, all that is required is time.

As of today , my investment in cryptocurrency is down and I dont even allowed it bothers me because I know it will definitely returns back to the price I bought.

The only way that could make cryptocurrency a little bit scary is the fact that if cryptocurrency is banned around the world then holding of cryptocurrency is as useless as not having anything in your wallet because you won't have any one to sell it to. Apart from that I don't have any thing to make me scared.

 

[King bell]

When the prices of cryptocurrencies are crashing, it can be a difficult time for investors. However, there are some things that you can do to help weather the storm.

1. Diversify your portfolio.

One of the best ways to protect yourself from a crash is to diversify your portfolio. This means investing in a variety of different assets, including both fiat currencies and cryptocurrencies. By diversifying, you can minimize your losses if any one asset starts to decline in value.

2. Stay informed.

When prices are crashing, it’s important to stay informed about what’s happening in the market. This way, you can make informed decisions about your investments. There are a variety of resources available, including online forums, news sites, and social media.

3. HODL.

If you believe in the long-term potential of a particular cryptocurrency, then you may want to hold onto your investments even during a crash. This strategy is often referred to as “HODLing,” and it can be a difficult decision to make when prices are falling. However, if you believe in the long-term prospects of the crypto market, then HODLing may be the best strategy for you.

4. Take profits.

If you’re not interested in HODLing, then another option is to take profits when prices are high and then exit the market. This can be a difficult decision to make, as you may miss out on future gains if the market recovers. However, taking profits can also help to protect you from losses if prices continue to decline.

 

[sincerem]

This morning (11-06-22) crypto saw a flash drop off in price, I witnessed the drop off, I have to purchase my trading to avoid being in a massive floating loss. Ethereum saw -10% within short time interval, so at that time you just have to relax and ot a graph to make profit with the quick price furlough. To me, the flash furlough in their prices are good way of Making quick and cool profit around crypto. If you check well, you'll notice that ETH have regained about 2% after experiencing such an easy drop down in price. ETH dropped off than any other in the top 5 list, I know before today will finish, Ethereum can recover about 4% of it's price after that sudden drop off. Those who capitalized on the loose price gonna make reasonable amount of money from it provided that they entered with reasonable amount of money.

 

[rahim299]

when crypto crash this is the time to buy and hold till the next bull run and dump them

 

[blockrat]

The best strategy with a volatile investment such as cryptocurrency is identifying your risk appetite and diversifying your portfolio.

 

[coin456]

The strategy would be to delete your broker app on your phone( as you will check it continuously) . Take a deep breathe and let the crash settle. Open trading view and open the chart of the crypto. Follow the news closely as to know what's next for the specific coin. If you still are very bullish on it hold the coin or else sell it

 

[AlexFr]

It depends on your end goal doesn't it. If I am looking to trade it then I am still looking at shorts since there is no break of structure in BTC. If I am a short term investor I might consider moving unpegged assets to stable coins and earning yield on them although the UST situation has likely scared many off doing this. Finally if you are a long term investor in crypto or anything for that matter, ask yourself has anything fundamentally changed with the asset class or asset you have invested in that is negative? If not dollar cost average your position and buy at discount.

Yep. You are right. If you have a goal, you should have a strategy and follow it.

 

[Ayuba Ernest]

When crypto prices are crashing, it can be tempting to panic and sell all of your investment. However, this is usually not the best course of action. Instead, it is important to remember that the market is always fluctuating and there will always be ups and downs.

Here are a few things to keep in mind if you find yourself in a situation where crypto prices are crashing:

1. Don't sell all of your investment. Selling everything will only ensure that you lose money.

2. Stay calm and wait for the market to rebound. It may take some time, but eventually prices will go back up.

3. Do your research and don't make any rash decisions. This is not the time to invest in something you don't fully understand.

4. Talk to other investors and get their opinions. This can help you gain some insight into what is happening and why.

5. Don't give up on crypto altogether. Remember that the market is always changing and there will be good times and bad times.

 

[sandcat]

I was aware even before I invested that prices can and will fluctuate. It is not realistic that prices only develop upwards. That never happens. And certainly not permanently.

Before you invest money, you should consider whether you can and want to invest your money in the long term. If this is the case, there is no need to get nervous in the current situation. I don't believe that cryptocurrencies will crash completely. At some point, the prices will rise again. That's what I'm waiting for.

 

[Mohitsidhwani]

I think this is a good time for the crypto builders to put their heads down more than anything else here. this is a good article by paul graham on self indulgence

 

[Mataracy]

Whenever crypto is crashing there are many event that wulll be taken place in the market among the investors.
Some of the investors that can not risk anything will always be panic and craving to sell there coin before they latter loss but this that have strong mind will always hold on.
Any body planning to be a good investor must be ready to risk a lot.
Though its also important that one should be very careful so that one Will not lose at the end. That's why one need to learn how to transact crypto currency very well before entering in to it.

 

[cashisking149]

I was aware even before I invested that prices can and will fluctuate. It is not realistic that prices only develop upwards. That never happens. And certainly not permanently.

Before you invest money, you should consider whether you can and want to invest your money in the long term. If this is the case, there is no need to get nervous in the current situation. I don't believe that cryptocurrencies will crash completely. At some point, the prices will rise again. That's what I'm waiting for.

This is clearly the case and should be expected but the reality of how one reacts to it when it does happen comes down to how the amount you have invested marries up to your risk profile. Those who have invested in a considered way will be calmer and more likely to just ride the ups and downs continuing to invest regardless and focus on the end goal. Those who YOLO into investing often over invest or worse still borrow money to invest and downturns cause these armchair investors to sell off to cut their losses which then scares the next wave and so we end up with a cascade of sellers.

 

[captainKazoo]

I think crashes happen in every financial market. So we should not worry about them too much when the same happens to crypto currencies. The market is volatile and is often affected by global economic events like inflation. We should just be patient and wait for the prices to move up again.