5 Tips To Trade In A Bear Market

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Coinmonks

2 min readMay 17, 2022

The fall of Terra Luna has caused all other coins to drop heavily. In addition to that, Bitcoin has lost psychological support of 30k and hit the lowest price of the year at 26k. These two events have added the weight of bearish sentiment on the cryptocurrency market and started a selling pressure in almost if not all coins.

In my opinion, investing is not a wise decision in this market. But of course, you can look for the opportunity to trade.

In this post, I am going to share 5 tips to trade in this unpredictable market. Of course, you can still make money, but probably it is limited and you need a strong plan to protect your capital.

5 TIPS TO TRADE IN A BEAR MARKET

Use the money that you can only afford to lose. Don’t go all in!
Set your stop-loss tight.
Take profit aggressively.
Trade for short term only.
Avoid trading $LUNA at all costs! It might be tempting, I know.

I have seen newbies posting questions such as ‘Where can I buy $LUNA?’ after $LUNA has fallen to less than $0.0005. What makes you think $LUNA is a good buy here? At this point, I only view $LUNA as a gambling coin.

So, the next question come to mind probably ‘What coin is a good buy here?’.

I don’t know.

At this point, I look solely at technical analysis aspect. Fundamental analysis game is not so great at this moment. Use this time to learn more about the market, prepare yourself for the next rally.

If you have lost a significant amount of money, do not lose hope. There will be coins making 10x,50x,100x and so on in the future. Just don’t leave the scene yet. Or else you will never make it. Instead, analyse what went wrong in your last investments. Write down your mistakes, own it and never repeat it in your future investments.

As I have shared about How To Trade $LUNA before, it is only wise that I also shared some technical analysis looking at the signs of $LUNA going to fall in my next post.

This post in for education only and I do not give financial advice. Always do your own research before investing.

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5 Tips To Trade In A Bear Market

In my opinion, investing is not a wise decision in this market. But of course, you can look for the opportunity to trade.

5 TIPS TO TRADE IN A BEAR MARKET

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Written by Farhana A.