As the prices of cryptocurrencies are falling, all of you might be wondering that should you buy the dip or HODL what you have? It is really a difficult thing to answer, but everything I say will be considered long-term. For example, Bitcoin and Ethereum both lost almost 50% of their value in the last week. And on the other hand, we have altcoins that have lost an even greater part of their value. So, all these coins seem to be a bargain if you have wanted to invest in something for some time now. But considering the high volatility of the market right now, it is best to wait it out for some time.
Buy the Dip or HODL?
We often consider buying the dip a tradition just like HODLING. But when you don’t know how deeper the dip might go, play it safe. People who are really sure about some coins can go ahead and invest 50% of their funds and keep the rest for future volatility. Do note that altcoins bleed more than Bitcoin during volatile markets, and therefore, they are not a very safe investment. If you have high hopes on some projects that could have the potential to scale up 10-100x in the future, then yes, go ahead bet on it.
Did you see how I used the word bet and not invest? This is because other than Bitcoin and Ethereum, I don’t think any particular coins have a 100% solid future ahead. Don’t invest in new projects, and make sure that the founders of the coin are known. It has been seen that many new coins emerge in the bull market and scam people as the bear market begins. So, stay away from projects that have been started recently, no matter how promising it seems. And if you really have to invest in the same, don’t do more than 1%.
Is the bull market over?
No matter how numbers look, I would say we are going $100k this year. Yeah, I am still very bullish on Bitcoin and this market cycle. And if you are worried about your alts, then wait for Bitcoin to take off again. It will carry everything along with it. Just remember that Bitcoin is the king, and its future will have an important role to play in the future of other coins. In fact, even in the last bull run, there were over 3-4 40% corrections along the way. And after that, we saw 20x gains. So, it is probably the 1st major correction of this market, and we could see many more in the future too.
What are your thoughts on the 50% correction that we saw recently? Do you think it is better to buy the dip now or just HODL? Let us know in the comments below. Also, if you found our content informative, do like it and share it with your friends.
Also Read: Paytm Payments bank has stopped working with Indian crypto exchanges
