It’s a fair question considering the cryptocurrency market has lost nearly $ 2 trillion since November 2021. The water cooler talk about the crypto has gone from upbeat and festive to nothing but crickets in the last year.

It’s no secret that investors lose their enthusiasm for crypto as asset prices meltdown. Who could blame someone for being soured if they were caught up in the Celsius , Voyager or the LUNA collapse ? After all , many have suffered serious financial pain and seen dreams of financial independence vanish in 2022.

Seeing those hopes and dreams go up in proverbial smoke leads to a whole host of emotions such as grief , despair , confusion , hopelessness , fear and anxiety. In many ways all the emotions felt at a funeral but without a body to view.

It makes sense that sentiment turns sour when in a downturn especially after the irrational exuberance of 2021. It’s human nature that we want to be involved when things are going well and quickly lose interest when the tables turn. 

So How Do We Keep Perspective In A Bear Market ?

Understand the cyclical nature of crypto. Bull runs are followed by bear markets. Feast is followed by famine. It’s as inevitable as the changing seasons of our physical world. To those of us who have been in the crypto space for some time this is common knowledge but to those who only came into the crypto space in 2021 a harsh lesson in reality is being played out.

So you have paper losses ? Accept it and move forward. Dwelling on these paper losses will only cause emotional responses which could cause you to sell and then it would be a realized loss. Managing your emotions is often described as the hardest thing to master but it is necessary to become successful whether trading or holding long term.

Realize that a bear market presents opportunity to accumulate crypto and position yourself for the next bull run. Ignore the fear , uncertainty and doubt ( FUD ) and use this time to strategize and plan for when market conditions improve. If bread at the grocery store is 50% off do you refuse to buy bread or do you pick up an extra loaf ? 

Understand delayed gratification and how you will be positioning yourself to reap the benefits with a long term perspective. Focus on your long term objectives. If you invest with a 5 – 10 year horizon it’s much easier to hold in turbulent times.

Turn off price action alerts and limit how often you check your watchlist. Alerts will not only rob you of your time and attention but may also increase your stress and anxiety. With the day to day volatility of cryptocurrency it is possible to receive many alerts during the day and you will feel compelled to check every time your phone dings.

Right now crypto has lost it’s appeal to the masses under the current market conditions. Those in the know are using this time to prepare for the time when sentiment once again turns positive and the masses are piling in as the crypto market reaches all time highs.