Flash Crash Worry? Top 3 Things To Do
top 3 tips for flash crashes
Flash Crash Worry? Top 3 Things To Do

By trevorbalthrop | Trevor Balthrop | 13 Feb 2020


It sucks but yes, market collapse is inevitable...

However!

Despite how scary flash crashes might sound or look. They are actually both good and bad for investors.

Flash crashes should really only be bad for everyone in the very short-term.

These rare yet inevitable crashes are truly only bad for those of us that are not prepared.

So I must ask you!

aRe yOu PrEpArEd?

are you ready trevor balthrop

Maybe you are not, or you need a good quick reminder. Not to worry!

Here are the top three things about flash crashes everyone needs to remember...

1. Use Emergency Funds Wisely

It is extremely difficult to not touch any sort of stashed emergency money you are saving. Seriously... if you don't have secret emergency funds already. Flash crashes for you will mean nothing but pain and misery.

Without a true legitimate emergency savings account. Losing all of your money in a flash crash means two things. First things first, without an emergency stash you won't be able to pay your next bills as you planned to. Secondly, you won't be able to make back what you lost in your flash crash right away. It could possibly take you months or years before the market surpasses your old goals. Using even just half of your emergency funds after a flash crash could help you pull your head out of the mud within days after such a thing occurs.

So get an emergency fund worked into your portfolio and use it wisely. This bit of advice also leads us to our next flash crash tip!

2. Re-balance & Re-invest Immediately

In the event, any kind of crash happens to your investments. Whether it is a bad day for you or a bad day for everyone. Rebalancing and reinvesting after a huge crash is an absolute must!

Good luck being able to do this if you don't have emergency funds set aside as we discussed in our first point. There is, of course, the option of getting a loan but we all know how murky, troublesome, and long that takes. Especially after a crash when the first thing everyone does is mobs the lines at the banks.

As soon as possible it is important to take whatever you have leftover that you can spare. Go back to the drawing board, and invest again because the moment a flash crash ends. Numbers will absolutely 100% go back up in the days after. Doing this just right could actually help you make up for or even double your losses shortly after a huge hit!

Crashes could happen for any number of reasons too and it is possible you may have something in your portfolio that just is never coming back. That's why shifting your portfolio makes a huge difference even when not facing extreme downtrends. 

3. Pay Attention!

Take notes, do research, and have a plan!

This tip is for those procrastinators out there, damn it!

Don't feel bad though! I was also guilty of this too. The quicker you own up to the more bitcoin you will own naturally. 

Pay attention though! Read the news, stay up to date, and try not to go for days at a time without checking out your portfolio of coinage.

As long as you start putting a plan together now, you can push yourself to keep working on that plan. Plans change! That's what flash crashes do is change plans for everyone in a matter of only moments. 

Don't let pitfalls make your plans for you, instead make plans around your potential downtrend and you will never have to worry.

😎

Remember, above all else, not to worry! As long as you got these three tips down, the confidence you need to buy low and sell high will come naturally. Don't let one day of losing chunks of change deter you away. Simply waiting while keeping calm and sticking to the plan is all any good investor ever needs to survive!

Good luck out there everyone and happy bull-run! Thank you tons for reading! 


trevorbalthrop
trevorbalthrop

Futurist, Public Figure, and official redheaded step son who sat out in the rain and rusted. Over 17+ years experience online, youngest person employed by Google at the time (2011), and huge blockchain enthusiast. He has been here, there, and everywhere!


Trevor Balthrop
Trevor Balthrop

**All information in these posts are subject to everyone's own opinion & decisions. Trading investments is considered a very risky venture and should be taken with great responsibility.** You found me! Yikes! Now that you found me, check out my latest thoughts, predictions, news events, and read my quirky writings about cryptocurrency and bitcoin. Don't say I didn't warn you! Things get weird in these parts but not to fear because I am here to explain. Always happy to assist the community!

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