The 2022 cryptocurrency bear market has wiped out over 70% of the market cap. The total cryptocurrency market capitalization surpassed $3 trillion at the peak of last year’s bull market, but is currently struggling to stay above $1 trillion.
At a time when most cryptocurrencies are moving sideways without seeing significant upside momentum in months, it can be a bit frustrating, especially for those who jumped at the peak of the market hoping to make some quick cash. .
As the downward trend worsens, Reddit’s cryptocurrency community shared their “survival” mechanisms and some “serious” tips for staying on top of your mental health during this cyclical event.
One Reddit user wrote that they are in it for the long haul, so they ignore the charts and daily fluctuations:
“I ignore the charts, as well as make sure I have a full-time job so I always have an income to rely on. It’s a long-term game for me, so I treat it like one. Daily fluctuations don’t matter if I don’t you’re going to sell anyway.”
Another user in the thread advised not to tune into the news, since most of today’s media is focused on “sensationalizing everything”.
One user gave golden advice: Don’t invest more than you can afford to lose and said that until the bull market returns, he was following the “dollar-cost averaging” (DCA) theory of investing. DCA is the practice of systematically investing equal amounts of money at regular intervals, regardless of the price of an asset.
While long-time cryptocurrency veterans realize that the bear market may be long, but it will eventually end, New traders who jumped on the crypto bandwagon due to hype or peer pressure may not. For them, a user suggested the importance of going out to distract themselves and wrote
“I can’t stress enough how important it is to have fun and time outside. Are the graphics getting you down? Go for a walk, it will help you wonderfully. Remember that the best investment you can make is in your mental health.”
The Reddit thread on how to deal with a bear market had a common theme: focus on the long term and forget about daily price volatility. The bear market can last for years, but in the end it is a cyclical event that will be followed by a bull run.
Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
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