Here we go again. Just as we are slowly recovering from the last dip a few weeks ago; the stock market took another dip and crypto went down with it as well. These last 2 dips have caused many people to switch from being full-on bullish, to turning bearish and that we aren't in the bull market that we though we were. But will the price continue to dump, or has the bottom been hit?
As far as my opinion goes, I'm not really sure yet. It could very easily go back to being a bullish market, or we could dip much further. In 2020 I think many of us have come to the conclusion that the world right now is extremely unpredictable, and anyone who says they know where the price is going, in-fact doesn't know anything.
So what have I been doing during this current dip?
I have been watching and waiting to see where this trend is going. I have not sold off any of my portfolio and why would I? I'm very confident in the coins I have invested in. Each time before purchasing any specific crypto, I do extensive research about the product and have full confidence in the future of it. This is also a time when it is nice being invested in the "blue chip" cryptos, that are seen as a safer investment with a more defined future than other smaller market cap coins.
Yes, the recent trend was to search out and find the hidden gems on Uniswap, investing a rather small amount that could 100x or more with these projects. I too have ventured over to Uniswap many times, and I have been thankful I did; especially with that free airdrop. But my overall strategy over the years was the get rich slowly approach. Investing in the biggest blue chips, such as Bitcoin and Ethereum, or even in stocks such as Apple, Google or Amazon. The percentage gains might not be as high if you found a hidden gem, but when the market becomes ugly, the fall down won't be as bad as well.
During this recent dump Bitcoin has dropped less than 5%, and Ethereum a little less than 8%, (at time of writing) but many of those hidden gem coins have dropped 25% or more. So while my portfolio is down like most others, I'm not at all concerned about it. After all, I am in this for the long haul.
My strategy going from here on out is very simple. I will be happy in whichever way the market decides to go. If the market pumps, I will be thrilled, because my portfolio will swell to new highs.
But if the prices dips even further, I will not be disappointed in the slightest. In fact, I have already bought a fairly large share of stable coins to take advantage if the price goes down further. After all, it is when the market goes down, that presents the greatest money making opportunities.
Even though Warren Buffet is not a fan of crypto, his famous phrase does still apply here; "Be fearful when others are greedy, be greedy when others are fearful." I think most people are fearful right now.
If the dip continues I see myself heavily focusing the most on acquiring even more Bitcoin, then Ethereum, and then possibly Polkadot as well.
What is your mindset during this most recent dump? And are you selling, buying more, and waiting a little longer to see what happens!?
As always, thank you for reading!