How to use the bear market and become a crypto millionaire
I am going to talk about how other successful investors were like you and me will become rich after investing during the crypto bear market of 2018 to 2020, and i will also share the five strategies that im going to use for those who are new to hidden Crypto, gems channel, i only talk about cryptos on this channel. The main topics are new projects in decentralized finance, nft player games and other crypto related subjects. If you like, what i talk about, then give this video a thumbs up and subscribe to my channel, make sure that you follow my twitter fban84 as well and join my discord. Group links are in the description. This way, you wont miss any life changing opportunities for disclosure. I am not a professional financial advisor. I only share my thoughts and views on my investments before you make any investment. You need to do your own research and due diligence now lets get on with the video. This year has been a very bad year for investing the correction in the markets has turned into a bear market, and now we might get a crypto winter. Often you read, or have heard that people who are rich now have often made their fortune in the bear markets. They were buying assets when the majority wanted to get rid of them and sold those assets in during a bull market. Now that we are in a bear market, i have studied their strategies and i hope to get the same success as successful investors in a few years.
Navigating a bear market is arguably one of the single hardest things to do as an investor, but it is also one of the most rewarding the catch is that you must be invested in quality companies or projects with solid fundamentals. All success stories have an element of luck to them for every amazon, microsoft or google. There are hundreds of failed companies for every bitcoin, ethereum or cardano. There are hundreds of failed crypto projects. One of the simplest ways to outlast a bear market is to stick with industry, leading companies or projects that have been through one two or maybe even several – bear markets in the past during a bear market, bad companies and projects die. The best thing to do is first, look at your current investments. Is the management still delivering good progress? Do they have enough funds to get through the bear market? Does project or business see opportunity to grow in the bear market? If the answer is no then sell your crypto coins or stock. However, if the answer is yes, then you can start using the dollar average costing method. During the bear market. Alexandra huck bought a lot of kryptos in 2017.. She bought them when they were at their all time highs and then came the crypto winter and the market went down. She was at a huge loss. She had invested a huge chunk of her savings into crypto projects that she believed in during the crypto winter.
She used the dca method and ended up turning her total investments of 40k usd into 700 000.. She made most of her gains with bitcoin, cardano and crow. If you want to know more about alexandria, you can follow her on twitter links are in the description. Dont put all of your investments in one single stock or crypto project, because you never know which project or stock is going to make it after the bear market. For example, litcoin xrp and bitcoin cash have never made it back to their all time highs of 2017, and sometimes good projects can turn sour like luna and celsius, so its important for you to keep a tap on the projects that you are invested in and why You are invested in these projects or stocks for the long term. For example, i need to know what my crypto projects are doing and how they are developing their ecosystem and attracting users. I must have a full understanding of what the crypto project is and what it does. I need to know the management or the team and have to trust that they will do a good job. I also need to have a good vision of how these users are going to spend money on this dap or on this blockchain its important to do good due diligence, because there are a lot of scammers in this space. Knowing what you want is good advice for investing like a millionaire in any market, the concept of understanding what you bought and why you bought.
It is a principle that can be attributed to gerald loeb founding partner of brokerage, firm, hutton and co. He was probably the first true speculator in growth stocks because he always analyzed the financials of any company he bought, says cj brought founder of dallas based capital ideas. Loeb then signaled out a single reason for owning a stock the why you own it became a property. He called the ruling reason for ownership, so its important that you know your, why? Why do you believe in this crypto project or other investments? Why do you think that this project will go up in value in coming years during a bear market? Investing like a millionaire means staying focused on your objectives while being strategic with your actions. Millionaire investors think forward, like 5 or 10 years from now, according to clark, kendall, ceo of kendall capital, that includes considering what the economy and markets will look like, how consumers will be spending money and what the interest rate forecasts may hold. They then use that dollars and sense thinking to shape the actions they take in the short term. They manage risk by making a series of small decisions and know that any decision can be a wrong decision. Kendall says, but a series of well thought out. Small decisions will typically outperform just one make or break large decision. Many millionaire investors rely on a slow and steady approach to portfolio building, says ryan schuchman partner and cornerstone financial services in southfield michigan.
Few and far between are those with substantial assets that came from the big wins in the market. The lesson here, shutschmann says, is to avoid making an all and buy or sell move since the odds of this strategy paying off tend to be low. Automating, your investments can do two things for you. First, it ensures that youre, taking advantage of the power of dollar cost averaging and compounding interest consistently over time. Second, it can help you avoid the pitfalls of trying to time the market. The amount of time an individual spends in the market is more important than timing in the market, says tim quillen, a chartered financial analyst and partner at aptus financial in lorac arkansas. When investors take their money out of the market, they have to be right twice one. When they sell their crypto and two when they start investing in the market again uber and entrepreneur no kagan, he applied the automated buying strategy. After he discovered bitcoin and understood what it is. He started to turn on automated buy in 2016 and every month he would invest 500 us dollar into bitcoin. Because of this strategy he became a millionaire. If you want to know more about his journey during the crypto winter, then watch his video. How i became a bitcoin millionaire link is in the description. One of the first strategies that has been used, often in the bear market, is the dollar averaging costing method. If you have found a good crypto project for the long term, the long term in this case is three to four years.
Then the dca strategy could be a good strategy. However, if you choose the wrong project, then the dca strategy can cost you a lot of money. So what im going to do is dca with a small budget into quite a few projects and whenever a big dip comes in, i will dca so im not going to dca for one project but for many spreading my best to increase my chance of winning, because In the crypto space there are a lot of good projects, but the thing is that i dont know which one will go up the most in value in the next bull market. So im going to spread my bets. Do keep in mind that some crypto projects can die like luna. A lot of people thought that it was a good project, but unfortunately there was a flaw in their protocol as a result of poor handling. The whole blockchain died, which angered a lot of people duquan and his company are now facing a lawsuit. The lawsuit filed on friday, the 17th of june in the u.s district court in northern california, by nick patterson alleges several vs firms, terraform labs and founder, duke one of violating federal securities laws with the sale and promotion of usd and luna, and some crypto projects never Reach back or surpass their old all time high like litecoin, bitcoin cash and xrp, maybe they will in the next bull run, but who knows this is why im going to keep close track of those developments? If something bad changes, then i will sell and cut my losses.
I will be sharing these developments on this youtube channel twitter and our discord room so make sure that you subscribe and join our socials links are in the description, while bear markets can trigger fear its important to keep things in perspective first and foremost, bear markets. Dont. Last forever and giving into fear can hinder your investment goals. Panic selling in a bear market or at the bottom of a bear market, often leads to more harm to your investment portfolio over the long term, says: drew cam men, co, founder of true financial partners in bettendorf, iowa campan says: millionaire investors often have the advantage of The experience on their side allowing them to view bear markets in a different light. This leads them to see downturns as opportunities to buy assets at a discount which can pay off later. When stock prices begin to rise. You can take the same millionaire, investing approach by looking for entry points instead of making a beeline for the exit set aside the emotion and look at a bear market from an opportunistic perspective versus the one of fear. Historically, the best days in the market follow some of the worst days in the market. I hope that youve enjoyed this video. If you do give this video a thumbs up, as this will help out my channel a lot and youtube is going to promote my channel.