How To Survive The Bear Market #1
With cryptocurrency markets deep into the red many investors in the community, especially those who joined the markets in 2018, are starting to feel despair. To combat this we’ve decided to shed a little light on the bear market, and explain why we’re still bullish on cryptocurrency and decentralized tech moving forwards.
Since last January, all-time highs Bitcoin has fallen over 80% in value, and you’d be forgiven for thinking this was the end of cryptocurrency. The good news is that it isn’t, and not by a long stretch. In fact, this feeling of despair is a common phenomenon in the world of cryptocurrency. 99 Bitcoins has been tracking the market cycle since its inception, and according to them, Bitcoin has now ‘died’ over 300 times.
So, no this isn’t the end of cryptocurrency, but with many investors seeing their holdings fall against the pound and dollar, this long-term perspective might not be overly comforting.
That’s why we’ve written three guides to help you get through the 2019 bear market. So, let’s get to it.
Today we’re starting at the beginning. Believe it or not, bear markets are a fantastic opportunity to make money and grow your crypto holdings. How exactly? Experienced traders will know the answer: a type of trade called shorting.
Although traders can short at any time, shorting is the trading type that thrives in bear markets. By borrowing the value of crypto assets and buying them to return to the lender at a cheaper price you can easily profit and grow your crypto stack.
Alongside trading opportunities, cryptocurrency bear markets open up the playing field. Falling prices provide those who found out about decentralized technology more recently with the chance to get involved, and the rest of us the opportunity to stock up on cheap crypto!
Join us next week for the second installment and remember to stay positive in this ongoing bear market.