During the lateral phases of the market and also during the bearish ones, it is possible to seize opportunities to increase one's exposure to an asset. It is precisely these cyclical periods that offer the best investment opportunities, given that the value of assets is indeed falling. The bear-market, in fact, is a prolonged phase of time where an asset is in a downtrend and can last for weeks or even months. I have identified five things that can be done during the bear market and that will bear fruit in the next bull-market cycle, let's find out!

1. Accumulate (DCA)

The first thing you can do in the bear market is to accumulate assets that you want to hold for the long term. It seems obvious, but not too much: investing in an asset that loses value, in fact, often seems counterproductive. It must be admitted that this is usually true, but there are assets with a certain intrinsic value and that over time undergo both bullish and bearish phases. What needs to be considered, however, is the underlying fundamental value, if this is high (in your opinion) then it is worth investing during the bearish cycle. Bitcoin is an example of this as it has historically moved with four-year cycles marked by halving, a phenomenon that halves the reward distributed to miners and therefore increases its scarcity. To understand when is the best time to accumulate BTC there are several ways, one of them is to use two indicators that tell us a unique way when to buy. The 50 and 200 period moving average in the BTC/USD chart (daily or weekly according to your accumulation plan) have a wave pattern with many crossings. Trivially, when the MA50 is below the MA200 it is a good time to accumulate and you can think, for example, of increasing the income of your accumulation plan. Conversely, when the MA50 is above the other we are in an uptrend and the accumulation plan can be reduced. Doing so increases the amount of purchases when the price trend is decreasing, accumulating greater quantities of BTC as long as it is "cheap".

Tip: During these times many types of assets can accumulate besides Bitcoin, but also NFTs or tips on Publish0x.

2. Farm

In the bear market, DeFi does not pay very high interests and often exposing oneself to pairs of volatile currencies leads to losses. Therefore, it is good to use platforms that allow you to "Farm" with pools of only stablecoins or coins without impermanent loss (for example ETH/BETH). In the first case, you are only exposed to the dollar, while in the second you have to pay particular attention to using assets that you want to hold for the long term, as the value in dollars will tend to decrease (but the value in crypto will increase). The strategy to be adopted, of course, is that of the "Farm & Dump", which I have already explained in the article Farm & Dump

As a final precaution, platforms that are possibly already tested and considered safe should be used, given that during the bearish market cycles it is known that many of these tend to fail. A valid alternative is the one offered by Binance in the "Liquid Farming" section, where there is the possibility to rent numerous assets without impermanent loss. In this section it is possible to choose between numerous pairs of assets, including stable ones, and receive rewards in the assets themselves and in $BNB.

Tip: On Binance it is possible to combine the interest received from Farming with that of "Flexible Savings".

3. Stake

Proof-of-stake cryptocurrencies, if they are part of a medium or long-term investment portfolio, can be rented through Staking. This procedure allows you to get an interest on the coins and sometimes even some recurring airdrops. In this regard, I leave you this article:

Airdrops - How to Participate (and get Free Money)

Staking is a very useful procedure to increase the amount of coins you hold, also contributing to the security of the network. It has no term and pays a certain interest (depending on the currency in question) every day. This interest can sometimes exceed 100% annualized. Obviously the advice is to stake your coins using non custodial wallets, not centralized exchanges. This is due to the fact that delegating your funds to different validators helps to decentralize the networks and decreases the centralization of voting power.

Tip: often those who stake coins such as ATOM or LUNA are recognized with airdrops by new projects on their respective chains.

4. Hodl

Then there are cryptocurrencies that cannot be staking and cannot even be used in DeFi: it is, for example, Bitcoin. For BTC (and for many other crypto), but also for those who do not like to use the annuity methods described above, there is an alternative possibility. I'm talking about centralized finance (CeFi), which allows you to hold your own cryptocurrencies while receiving a fair amount of interest. A Bitcoin accumulator, in addition to its own accumulation plan, could receive an APY higher than 6% simply by holding its funds on a specific platform. This is the case of Celsius Network and BlockFi which also support many other cryptocurrencies, for those wishing to diversify their investment portfolio. These annuity possibilities are very useful and should be understood as additional earning opportunities to be exploited also due to the sign-up bonuses they offer. To learn more, here are the respective posts:

My CeFi Experience: BlockFi

My CeFi experience #2: Celsius Network

All you have to do is sign up and deposit the desired amount, which immediately begins to generate an income.

Tip: By joining Celsius Network you can use promotional codes that entitle you to several hundred dollars in bonuses.

5. Wait

Waiting is the hardest part in a bear market. It consists in the ability to wait for a reversal signal which can be graphic or of a fundamental nature. Not everyone is capable of it and often throw in the towel before getting to the end. In fact, seeing your savings decrease day after day is not easy, but you must always keep in mind that sooner or later the market will reverse its trend and then you will reap the benefits of a well-planned strategy. The strategy I am talking about must obviously be set a priori and must then be maintained without getting caught up in emotions such as fear.
In this regard, here is a tip: Don't feed the Whales.

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