Hi I’m Brian from WayofCoin.com
Lately I’ve been asked these three crypto-related questions:
Should I buy the dip?
Is crypto going to survive?
What are you buying or holding onto during these wild times?
So here are your answers:
Should you buy the dip? I wouldn’t, at least not in a big way. If you’ve only been trading crypto for a year or two, you’ll have seen plenty of dips and recoveries. For now there’s too close of a correlation between crypto markets and the stock market, and the consensus among experts is that we’re probably going to hang out in the gutter for a while. It’s called a bear market, and for my money it’s going to hang out for a while.
Will crypto survive? Yes, BUT that doesn’t mean all cryptos will survive. In fact, as we saw with automobile manufacturers in the 20s and 30s or internet companies in the 90s, the technology survived, but most of the competitors got killed. There have already been thousands of failed cryptocurrencies, and don’t be surprised if thousands more are soon to join them in the abyss.
What am I buying and holding? Not much. I’m dollar-cost-averaging into Bitcoin, which has a long history in crypto-years of not dying, as well as usually being the first to recover in the next bull market. That just means I’m buying a little bit each month. I’m holding some Ether and a very few altcoins I especially like for their real-world use-cases like VeChain, Stellar Lumens, Polkadot, mostly in a show of confidence rather than with any expectation of appreciation. At least not right away. I may still throw down on promising new projects, but they’ll be fewer and farther between.
One last thought if you’re still holding crypto yourself: we’ve seen major exchanges bite the dust or become insolvent before, some recently. It’s probably worth your time to look into cold wallets so you can access your coin even if your exchange goes belly up. You can learn about that stuff and more in our Crypto Crash Course on WayofCoin.com, which is super cheap and easy to watch.
Til next time!