The sun is rising and the clouds are receding. It is a new day.
Over the last few days the crypto predictors I watch have slowly been turning green again after being in the red for most of the month thus far. A few have held, but the worst case for one of my held currencies was Cosmos which depreciated by a whopping 40% and even now is still down 32% on what I paid. Based on market conditions at the end of August it seemed that I hadn’t overpaid.
So like the rest of you, I have been hodling rather than risking greater losses. Currency prices have to come back and it is a beautiful thing to see the indicators once again moving in the right direction after such a dire two weeks.
This month thus far has been marked by inactivity and due to supply and demand factors I know I am not alone. After the losses, the market remained virtually static – this means very few were trading and only now is it sluggishly reawakening.
Why didn’t you buy the dip some might say. That’s easy if your reserves aren’t already tied up. Believe me I will be better prepared next time.
However, this weekend I made a few modest gains. Using principles that I have previously described (read here) and reengaging with my two favourite currencies – TEZOs and DAI – I have begun to see a return to growth. I have previously stated that ultimately when it comes to crypto a significant factor is to increase your multiplier (namely the amount of crypto held).
Over the weekend in the space of a couple of trades, playing DAI off TEZOs and vice-versa I managed to increase my TEZOs holdings by 7.5% while also acquiring another 1.3% DAI. While the current TEZOs price means this doesn’t really add up to much it is quite an achievement in the given market conditions and as prices recover so too will myportfolio value.
It’s not a lot. It’s small steps, but it is the green shoots of a resettling but to an elevated level is probably underway.
Finally to get the market moving again I encourage all to do similar to what I have done. Small steps will stimulate and promote movement whereas ONLY hodling* with increase stagnation.
* Of course some hodling is necessary to avoid huge losses (just look at my Cosmos holdings) or if a deflated currency is being staked, but take those tentative steps. Let’s massage the market back to life.
I hope you have a wonderful day and stay safe and well.