How to survive a crypto winter - A guide for beginners.
The word on the street is that winter is here. A lot of money has been lost this year due to the crypto crash. Many people have started questioning if we are still buying the dip? Or purchasing the fall?
A crypto winter can be scary, and we’re talking about forgetting to call your mother or your rich uncle on their birthday level scary. We don’t like imagining it, let alone going through it. But, could we be experiencing another crypto winter?
First of all, we need to understand what this term means and how it could affect anybody, and then we’ll go into what you could do to protect yourself from it.
This information isn’t restricted to crypto enthusiasts because the global economies are going through their version of a crypto winter. If you have loved ones that you want to keep informed and ahead of what is happening now, then you should share this with them.
If information is important to you and you want more value in your cryptocurrency journey, then join our community on Telegram. We don’t share anything that is not relevant or important for you to know.
What is a crypto winter?
You know how there is a rainy season and a dry season. The crypto market goes through something similar. It’s called a market trend.
There is a bull market trend where everything is good. The prices of assets are rising as expected, and even our CEO has a smile on his face.
The opposite of this is the bear market trend. This is when the prices of assets drop downward. If this continues for over a year or more, we call it a crypto winter.
Since this year began, cryptocurrencies have been taking a downward plunge in the market. Record lows were reached lately, with the crypto market falling from over $2 trillion to under $900 billion.
So what does one do during a crypto winter?
Disclaimer: It is important to note that we are not financial advisers and we don’t claim to give out financial advice. This article is meant to provide information and hopefully clarity for our readers.
Don’t put in the capital that you can’t afford to lose: There’s an adage that goes, “don’t do more than yourself”. It generally means don’t overdo it or don’t step past your limits. If the capital you’re planning on putting into trading cryptocurrencies could cripple you if they’re lost, then don’t do it.
Crypto winters have happened before, and they passed, but some cryptocurrencies didn’t make it all the way through. This is where the risk factor comes in. When ValorExchange came to be, we wanted to give our community access to the best cryptocurrencies in the market that have and could withstand a crypto winter or a crypto crash. This is part of the reason why we picked out Bitcoin, Ether and USDT .
Earn by being a crypto provider: You can buy cryptocurrencies from a larger company and sell them to meet the local market demand at your own rates. This is a lucrative way to earn more with your cryptocurrencies. You can get the best rates for cryptocurrencies on ValorExchange. Create an account with us to join our waitlist to enjoy this exclusive service.
Use your currency as a shield: If you live in a third-world country, you know what it means to have your currency depreciate. The pain you feel from having to spend more on something you had previously bought for less.
If you have siblings or children in foreign countries, you know how much harder it is to pay for school fees and other utilities when it feels like even your currency is against you. Forget your ‘village people’ because Inflation and depreciation are your true enemies.
However, you can shield yourself from the rising inflation by exchanging your fiat currency for inflation-resistant cryptocurrencies like USDT, ETH or BTC. USDT, for example, is a stable coin that was created to remain at a fixed price no matter what. 1 USDT is the same as 1 dollar. So, it’s like swapping your Naira for a dollar on the blockchain.
The industry is facing a possible crypto winter, but luckily, there are things that you can do to protect yourself against the harsher realities. Join our community, you won’t regret it. There is so much more than you can do with your cryptocurrencies, and we want to share a world of possibilities with you. It’s completely free so join us on Telegram today.