Three things not to do when bitcoin is going down
When the price of Bitcoin goes down, and you watch all of your cryptocurrency holdings lose their value, it’s hard to remain calm. Bitcoin prices fell sharply amid the global sell-off inequities. Negative news over the past week has dampened sentiment for bitcoin. On May 12, Musk said the electric carmaker had suspended vehicle purchases using bitcoin, citing environmental concerns over the so-called computational “mining” process.
After its recent falls, it is now trading at half that price. Do you lose money if bitcoin goes down? You only lose money if you decide to sell. It is no secret that Bitcoin is volatile, as all cryptocurrencies are! The trick is, knowing when prices will move and what to do when the price is down.
Always bear in mind that trading or investing in cryptocurrency is a psychological war against yourself. Stock traders often say that investing in traditional markets requires extreme mental discipline. That discipline is how they control themselves when the market is volatile. How they stop from making stupid decisions and keep on track with their strategy.
The crypto market is more volatile than any market the world has ever seen. You need to be emotionally equal to withstand the market no matter the market state of condition.
Remember the three things not to do when bitcoin is going down;
Don’t sell your coins for ones that are going up.
Don’t stare at the chart all day.
Don’t try to catch the exact bottom.
I learned that the majority of my mistakes were made in moments like those. When I wasn’t being productive, I was needlessly monitoring my holdings like a hawk. It made me more emotional, and it made me overtrade. Two things I now know to avoid at all costs.
Sometimes the best thing you can do is set a limit order, and walk away. Trust your strategy, and always remember — if you’re not trading with a strategy you’re gambling.
Remember that I am not your financial advisor; please remain cool and conduct some study.