The situation in the cryptocurrency market has become quite intense. These days, you might be forgiven for thinking “Cryptocurrencies” and “Volatility” have become synonyms. While Bitcoin reached the all-time high price of $64,800 in November 2021, it has now lost nearly 50% of its value. Since the market dip began in October, the market has yet to fully rebound. Consequently, even the most bullish traders have begun to grow cold feet.
Market dips are not unusual on the Blockchain. Recently the market went through a similar slump from April to July 2021, and then immediately recovered by the end of the year. From a statistical standpoint, Bitcoin appears to be a high-volatility asset with no clear medium- or long-term trending or reverting patterns. Despite the fact that such drastic movements have characterized the blockchain world since its inception, many traders still find it quite challenging to stay calm when markets start to drift.
In this article, we will provide you with some practical trading tips that can help you ride the volatile waves and maintain a profitable position when the market rebounds.
1. KEEP OUT EMOTIONS & SENTIMENTS
It’s okay to feel anxious, but don’t let anxiety dictate your trading choices. Emotional trading – famously called FOMO (Fear of Missing Out), can cloud your judgment, lead you to commit costly errors and badly-timed trades, like selling off when prices are lowest only to buy the top again after the market rebounds. Such unfortunate FOMO cycles have led many traders to lose their funds to market shake-ups. Remember that you do not make any losses until the moment you sell.
When in doubt, Zoom out.
2. LOOK AHEAD
During a #CryptoMarket downturn, many people make knee-jerk decisions. Before you make any trading decisions, it is important that you take a moment to consider your long-term goals. Did you buy the token/coin with the intention of re-selling for profit? What other utilities can you get from holding the token? What is the long-term viability of the underlying project/asset that is backing the token?
Before you hit that trade button, take a deep breath to answer these questions objectively.
3. CONSIDER DOLLAR-COST AVERAGING
Dollar-cost averaging is a popular strategy for reducing the stinging effects of volatility of cryptocurrency prices — it involves buying small amounts of a particular cryptocurrency at regular intervals i.e. daily, weekly, or monthly. This will help you spread out your risk while you ride out the wave of the turbulent market movements.
4. CONSIDER OTHER PASSIVE INCOME OPTIONS
There are many ways to generate income in the crypto space without having to sell your tokens. There are various platforms that offer staking options and Yield farms where you can deposit your tokens to earn passive income while the market volatility waves blow over.
5. CONSIDER BUYING LESS VOLATILE DIGITAL ASSETS i.e. SECURITY TOKENS
Have you heard about Security Tokens? There are blockchain-based tokens that are backed by real-world assets and commodities such as Stocks, Gold, Real-estate, Artworks, etc. Some crypto degens and maximalists have labeled Security tokens as “stock trading on steroids”.
You can think of them as stocks of actual registered companies that are tokenized to be traded on the blockchain.
Security tokens are less susceptible to drastic price movements that characterize other utility tokens. By tokenizing the company assets, traders are no longer limited by international restrictions nor do they have to go through the brokerages to purchase shares from stock exchange markets. By holding Security tokens, you get to have similar rights as a shareholder, such as voting rights, and the right to a portion of the profits of the underlying company.
Security tokens have established a reputation as the least volatile asset class in the blockchain world. Furthermore, many investors consider them a far more secure investment option as they are better regulated by governments and financial institutions than any other type of cryptocurrency. Security tokens are basically a breath of fresh air in the wild wild west world of blockchain investments.
Where to Buy Security Tokens
Not every cryptocurrency exchange is licensed to offer Security tokens for sale interenationally. However, a few Digital Asset exchanges have been able to navigate the regulatory frameworks and requirements to offer Security Tokens across international borders.
Cryptosx.io is one of the world’s leading Digital assets trading platforms that is licensed to offer a wide range of #SecurityTokens for accredited investors choose from. As one of the pioneers of the industry, Cryptosx has built a cutting-edge platform for Security Token Offerings (STOs) backed by Fiat/Crypto conversion capabilities. The company is compliant with all of the applicable financial and virtual exchange policies and regulations of the Philippine Government under CEZA (Cagayan Economic Zone Authority).
Top Security Token to Buy in 2022 – 2UToken from Brighsun Energy
The 2UToken is a unique native Security token of an incredible 2U ecosystem where entertainment, e-commerce, and tech are seamlessly integrated. The token is full-backed by Brighsun Energy, a Guinness world record-holding company that made its name in the Electric Vehicle Battery manufacturing industry.
The 2U Ecosystem consists of a variety of smart Extended Applications and ground-breaking Lithium battery technologies. Meaning that the token will generate value for its holders in various other ways in addition to profiting from innovative technological advancements of the Brigsun Energy company.
Here are a few features that you can enjoy by holding the 2U tokens:
- 2U Chat for borderless communication
- 2U App for e-Commerce and Instant Messaging
- 2U Gaming
- 2U Tech Solutions
How to Buy The 2UTOKEN
The 2U Token is fully supported by Brighsun Energy and trades exclusively on Cryptosx.io.
To Buy the 2U Token, simply visit Cryptosx.io and sign up as an Accredited investor to get started.
For more information about the 2UToken follow us on our official social Media Channels:
Website: 2UTOKEN.com
Medium: 2utoken.medium.com
Twitter: @2UTOKEN
Telegram: t.me/2UTOKEN
Disclaimer:
Not Financial Advice. Before you invest in digital assets, do your own research and/or consult a professional Financial Advisor.
