It is amazing to see how all my plans for economic growth this year have been frustrated for many reasons. My investments in the crypto market have foundered, my sources of income have been reduced, in short, I am having a very frustrating 2022 on many levels; although I am perfectly aware that it is not only happening to me, but to almost everyone world in the crypto realm.
Image Source
Reality knocking at our door
The truth is that due to the economic growth I had in 2021, which was generally very positive, I projected a 2022 in which things would go much better for me. In other words, I was expecting a better start to the year, and much better market conditions. But the reality knocking on our door changed the entire panorama and projected aspirations, at least in the short term.
Although I have always known perfectly well that the volatility of the crypto markets is gigantic, and I foresaw huge levels of fluctuations up and down, I would be lying if I said that I totally foresaw a bear market like the current one...
Because what seems most frightening, at first, is not that the market is bearish, but that the trend is lasting so many months, and although it is normal for this to happen; it is also normal that this is making almost everyone a little nervous, especially due that this committed to the liquidity levels of traders and retail investors.
But as I said, I did not foresee the current scenario enough, and what bothers me the most is that I should have, since it was very predictable in every way for many more reasons than I want to mention today through this post.
In any case, if I had foreseen the current downtrend in a timely manner, I would not have made the huge mistake of investing in several cryptocurrencies (about 6 or 7 altcoins), shortly before the whole crash happened. Anyway, it is already ancient history, and I can only face it in the best way, learning the lesson in the process to never forget it again.
Well, because they are mistakes that happen, and money is just money. The important thing, in my opinion, is that we learn from this type of situation to be more aware in all senses and thus not repeat them in the future.
Because the accumulation period that is currently taking place in the markets is exasperating for everyone, and especially depending of the levels of economic liquidity that we have. Due, the less financial liquidity someone has, the more irritating and scary the current crypto price scenario becomes, and that's when the sell-off begins.
What not to do during the current bearish cycle? What I have learned through the years
And it is then, in continuous type bear cycles like this, that people start to sell what they should not sell. That is, people start selling their Bitcoin holdings and all their other major cryptos.
Image Source
And this is the last thing they should do, because the thing to understand is that the market will recover at some point (i.e. the trend will change from bearish to bullish), and then all those who sell their cryptocurrencies at the current levels of the market, they will regret it.
Actually, if I have learned anything over the years, it is that whoever sells in conditions like the current ones in the market is supplying the whales and playing the role of a fool. Of course, this is just an opinion, because everyone is responsible (as I always say), for what it does or does not do with its money.
In any case, I think that we can only criticize those who for selling their cryptocurrencies in and unconsciously way, because they have fallen into the FUD of believing that the crypto market will never recover.
But I cannot blame those who do it consciously, that is, those who do know that the market will recover at some point, but are forced by necessity; because they do not have enough liquidity to support themselves and their familie faced with such a situation. The truth is that each situation is different and you have to understand that (at least I can understand it very well, because I have been through it in the past).
What to do then??
Well, I can't advise anyone, but I particularly have high hopes that this will pick up, so we just need to keep an optimistic view of things, and try to hold onto our cryptocurrencies as long as possible; while looking for new sources of income to get liquidity in relation to our personal and family living expenses.
The current market situation is frustrating? Yes, it certainly is, but when situations of this type arise, and the more our plans for economic growth are frustrated, it is when we must persevere the most, because if it is a fact that every upward cycle will ends at some point, let us remember that this down cycle will also end at some point. Don't you think?
What do you think about the topic discussed? Please comment.
Gif created by @piensocrates
Posted Using LeoFinance Beta