Topic: My Coping Strategy for Bitcoin Price Crash (Read 568 times)

Nobody needs to panic about the price dropping, this is what bitcoin does. We are in a bear market, it is what it is. This is an opportunity to buy cheap bitcoin. Try to always look for the positives in any bad situation. Bear markets are opportunities, this is how the smart money gets rich.

As long as we are alive and breathing, there will always be hope and that's the best coping strategy for what is happening right now nothing else. Me, what I always do whenever things are not going well is simply just forget about what is happening because I know everything will be alright soon and just focus on learning and gaining new knowledge either crypto or not-crypto related. Most of the time I like reading articles, researching new technologies, and finding coins that have the potential to become something big in the future bull market. And also, I like playing games, they are stress relievers, especially if you are playing with your homies who are also at loss. Lol.

Good strategy to monitor volume before taking entry but it is also important to see volumes are rising because of buying or selling pressure. I think Technical Indicators/charts are never 100% correct however they can help us to make better trading decisions to turn our trades into profit. MACD & RSI Indicators if used in combination can give us enough information about general sentiment of market to trade efficiently.

My strategy is simple, I just like to see the volume, it doesn't matter how long it takes, trying to get the most out of it in terms of information, it's all about long-term, then I analyze it in the medium term and I only see it in the short term and I don't do much depth in understanding it because volatility already has more range, but if I find dispersions in it and I don't know how I can interpret it, I don't do anything, I'm not one to read charts or do analysis with chart figures, I think qeu all dip should be studied to see if it is feasible to buy, although all dips are always good for it.

the steps you take are very good. ie invest money which you are prepared to lose. This is a good lesson for novice readers. because often greed overwhelms a person in investing so that they invest excessively. so that when they experience losses, they seem unable to face reality. and stress, frustration, even to the point of hurting yourself.

I think bitcoin is going through its preparatory phase of mass adoption. The fall in bitcoin is induced by fall of international economy. With the fragmentation of international economy where it has become imperative to find alternate mechanisms of international payments.  Especially the countries dealing with russia. I believe the crypto is set to benefit from this and more and more traders will look at bitcoin as  an alternative currency.

This war of ukraine is going to last longer than we think. Not in terms of on field war but off field in terms of financial sanctions and economic war. I believe bitcoin can also be used as a shield by russia to overcome the economic weapons of west. 

So in my opoinion there is no need to panic at the current fall of bitcoin as there are multiple reason to believe that it will show a rebound trend in future.
I keep myself happy thinking like that only

There is only one strategy for me to that is to hold bitcoin for long term and don't panic sell in these cases as have seen worse than this.Moreover abiding by the rule that invest what you afford to loose help me gain some confidence that I have not gone above my losing limits.Family support is necessary at this time as some people become too aggressive in investing that when they loose at dips they sell off without having any further patience which can lead to further losses.

my strategy is
1. reduce panic.
because panic will only slowly destroy you. because as we know the market is used to moving down and up. realize this and you will calm down.
2. keep patient waiting for the best moment to enter and exit. and do DCA.
3. remain grateful to still be given breath and given health both physically and mentally.

keep calm and re-strategize.

That passes after a while. I mean I have some bitcoin investments that dropped 40% or so since I invested, and I do not even care about it, in fact I am quite happy that it dropped so that I could buy some more from this price as well. It's just clear to me that we are not going to see anything major changed in the crypto world just because it dropped, we are going to be fine and it will recover and everything will be fine.

This is mainly because price crashes and then skyrocketing all happens in cycles and it is not a big deal for me, it is the common thing in all markets. Just wait for this phase to be over and you will see increases in the price again.

That unrealistic view comes from the influencers of the world. There are so many people who are pumping their profits even today that they are basically telling people that they made money by shorting bitcoin or even Luna right now and that is how they made their money. Unfortunately most of that is not true but they are capable of tricking people into thinking that they are great traders and they made a lot of money.

This in return created a community where everyone shares how much money they made and that caused everyone to be a bit different. Nobody sees the losses anymore and they always talk about how much they made, so it's looking like just a place to make money.

Bitcoin is among to the coins that have dumped heavily. Other coins dumped but they still have some value left on them if im not mistaken, that means that they aren't totally a scam and there might still be a chance for them to recover but first let's need to be calm and try to stay positive like what the op is doing. Being too ambitious in life is not good because it can lead you to want for more, like ex. money.

You can borrow and gamble it, on crypto to think you can get rich easily but if ever it fail, you will be disappointed and would come to the point of ending your own life. The best thing is to accept the reality and accept your own conditions now if you aren't fortunate enough. There are still other ways to be happy, not just money and they are more safer.

I like the op's strategy. It's indeed good to remind ourselves of something good that we have, to be grateful. Because it's typical to take things for granted and only realize their value when there is a danger of losing them, if not later.
I'm not thrilled with the current prices, but I'm not wrecked by that either. I was worried a lot during 2018 when the price fell and didn't recover for a long time, but then I stopped caring that much and putting too much thought about it, so I became less sensitive to volatility eventually. And I have no doubt Bitcoin will recover, just like it did before.

True that and most importantly, I have been in this space for a while and after some of the market dips I have witnessed, I had somehow gained more confidence that regardless of how dip the market has gone, it will always recover and this is a fact so I have learned to be less stressed about it. Bitcoin is the best crypto you will want to invest in it is just that most investors stall haven't come to terms with its volatile nature hence the panic.

Don't focus too much on bitcoin because bitcoin or anything doesn't always run smoothly or keep going up, there will definitely be ups and downs and even ups and downs just like life.
You focus on your life by having a real job or other business that you have to think about and even then you can create after profiting from bitcoin and you manage it well which will continue to make money without having to focus on bitcoin.
What I mean is. I invest bitcoin for the long term and future and also don't care about bitcoin movement until it really makes maximum profit to take it on the condition of only taking profit, and to create the business you want and can.
and don't be afraid bitcoin will return to zero because it is impossible considering the continuous development of bitcoin and will definitely go up again, the most important thing is to be patient because there will be times when bitcoin will go up again and have to learn from the trail of its journey, after a new ATH occurs there will definitely be a decline and it's always been like that which will eventually go up again and make new ATH again and always will be, because bitcoin is for the long term.

There's a reason why they say that "Only invest what you can afford to lose" and the current situation is pretty much why they keep saying this.
But seeing bitcoin give massive returns people tend to ignore it's history. Even though bitcoin gets us some nice profits there are times like this where it's a bloodbath.
People have to keep this in mind at all times and invest accordingly. This is how volatile bitcoin is and this is how crypto behaves.
My current strategy and probably most of the others' as well is to HODL strong and keep buying at dips to enjoy the profits in the long run.

Acceptance and gratitude definitely, I always am thankful I got in when I did and not later. Happy to have witnessed two ATHs, and happy that even when forced to liquidate savings for emergencies (you know how it is, real life loves to strike) that it was in nett gains.

And always, I think, focus on living life. Then when the markets are down and we set in for winter, we've still got plenty of building and improvement to do. Your art, your career, your loved ones. Even forum camaraderie.

As mk4, vapourminer, etc. point out, then this just becomes part of the cycle of (Bitcoin) life.

To be sincere it something everyone felt the move directly or indirectly and as a matter of fact it has been what has cost many lots of financial asset loss, but still yet it's not the end of life, one has to move on, being worried about it does not bring any change but rather some would have developed a high BP at the course of which i believe their precious life is better than any loss in asset.


Reinvestment is the key, not only is it required to just make an investment but on bitcoin, make a new buy now that its dip and expect more better days ahead.

You only need to cope with something if you see it as a problem, not if you see it as an opportunity that you had been waiting for.

This is the basis of how I manage, when I see bitcoin going down, I prepare the USDT on exchanges ready to buy at even lower prices. This in turn gets filled or does not get filled, either way, I am the winner, because I buy bitcoin at discounted prices and dont get any panic in my head. When I run out of USDT to spend, I set the sell orders at multiplied prices and then shut down the console of the exchange to move on to the rest of the things in life.

Bitcoin is not everything in life, so keep that in mind and spend only what you can afford to lose.

This is how most traders should function. If you are glued to the charts, you will face anxiety and take the movements as problems, not chances to seize.

I thought it was something like TA analysis strategy that I can use in trading but it is more than that. That was really good strategy in coping loses and a good way start up a day and look forward on the opportunity and a positive outlook in life, I will try this strategy as well as strategy that I can personally use such as doing things that I like or that will keep me calm.

What a wholesome thread, OP. I hope other people have the same mindset as you.
What I usually do during these days especially just like in 2018 when Bitcoin was like around <6k is just never open any crypto related site. The more you think about it, the more it consumes you causing psychological effect on you.
When I was starting up just yet back in 2017, a single reddish charts would drive me into insomnia. Good thing Bitcoin rebounded and almost went 20k that year, and there was sign of relief for me to never overthink too much about the market.

very much this. ive gone through several 80%+ crashes. at this point its just meh. wait it out and if youve done things right (ie dont invest what you can afford to lose or at the least can park it for several years) its just another day really. dial down ones lifestyle and ride it out.

take some profit when the times are good. it allows one to just coast in the bear market times.


my 1st crash was from $35 to $3 and it was disappointing but i wasnt risking much at the time, so again, meh. everyones risk level is different.

My strategy is simple, if I do not like what I see on the chart, then I zoom out. If I still don't like what I see, then I stop looking at the charts altogether. My goal here is not to make a quick buck, but to build a portfolio of investments that I can continue to grow over time.

I also try not to get too excited about things I cannot control as I get older and more experienced.

To be honest, I don't like to use such strategies. I prefer to work manually, because this way I can obviously earn more.

Since I joined the crypto world, at every crash I always have a coping or consolation strategy. I was scammed of a huge amount and I was practically sent back to zero or to start afresh. So anytime I lose money I'll make reference to the scam and say to myself it's not even upto 30% of what I lost then but I survived, so I can survive now aswell. Those where my consoling words when I was blowing my forex accounts day-in-day-out.

But I wish to state this. No body lost money in this dip unless you sold at lost or you are holding altcoins that may not recover again like Luna. But if you are holding btc you don't have problems. At the height of this adversity, the king also tested $30k dollars today.

My best advice is if you're in Bitcoin for the long term, you don't need to know the price in the short term. I've gone months, potentially even a year plus of not checking the price before, and while I don't particularly get emotionally attached to the current price anyway, I just did it because I didn't need to check it, there wasn't any point. I only get the price now from the forum, and users talking about it. I think a lot of users here would find it as a good coping strategy. Have a sit down, ask yourself why you're invested in Bitcoin. If you're invested in the long term, and you believe in the fundamentals of Bitcoin. Then, I personally think you have nothing to worry about, and checking the price is just a unhealthy obsession at this point. Check it closer to when you want to use it for something.

Obviously, this advice could mean you miss out on the upward swings too, but trust me if Bitcoin dives like it has or smashes up in price, you'll know about it through this forum. However, at that point you don't need to keep checking the price every day or week. Usually, these dips, and rises take time to sort themselves out, and checking the price is just going to compound that doubt you might have in your mind.

Any situation can be perceived both negatively and positively. This is from the category when the glass is half full or half empty. In the current situation, no matter how difficult and unpleasant it may be, you can try to step back from the losses mentally. Try not to think about it and not dwell on it. As long as you haven't sold your assets at a loss at a discounted price, all is not lost. Try to focus on the positive. This means that any non-standard situation, which is a market collapse, creates new opportunities. You can try to see these opportunities and take advantage of them. The easiest one is to buy bitcoin at a discount price.

What happens is that people have an unrealistic view about the markets since they do not understand them, they believe that somehow the price of an asset that is currently going through a bull run is always going to keep going up, not understanding the price is going up due to an increase on the demand, and once the rate of the demand slows down or stops completely then a bear market will follow, for us this is logical but most people do not understand a concept as simple as that, and it is because of this they get surprised by the sudden crashes that we can see once in a while in this market.

You are right about these, it is better to be positive despite of everything even you know it is kinda hard and frustrating to see your port is bleeding , and for me I always keep in mind that whenever I feel sad because of sudden changes, unexpected events that will hurt me or make me feel sad there will be a time that I will always remember this is normal it is just that I am stuck in the valley of disappointment (if you knew plateau of latent potential) . Soon if I will keep on accepting that I might have some losses tonight, soon I will get used to it, and it will help me to have a good decision soon.

those who commit suicide are ambitious and gamble because they cannot patiently accept reality. In fact, to invest the main choice is bitcoin with the largest portion, so that no matter what happens, you will not lose all the money as it is today. many people just want to get rich quick without taking into account their future risks, so if it happened like this time, they would be very frustrated

There are more ways than one to cope with the stress that is brought about by this bear market. For one, like you said, you could appreciate more the abundant blessings that are immediately around you-- life, family and friends, shelter, complete meals each day, a soft bed to sleep on at night, and so on. I also do this. I'm always grateful for each day and I always wear a smile when I wake up each morning, after I pray.

Another strategy that I use is to be aware of the price history of Bitcoin. While it is true that everything's possible, that this market is a wild wild west, that there's high risk here, and so on, the fact is that Bitcoin has gone through this market cycle a number of times since its existence and it has always recovered. I didn't flinch when Bitcoin fell from $20k to $3k; why should I panic now?

Another approach is to focus on Bitcoin itself and not on its price. Regardless of the price, Bitcoin remains the same Bitcoin that translates to freedom more than anything else.

And there's also a lot of options to divert your energy and focus. You've got your hobbies, your work, new skills to learn, and others. But what I think is my unique strategy is that whenever the market I'm heavily invested in falls hard, like what's happening right now, I always go back to the fact that I was born poor, currently living a very simple life, and that not much will change even if Bitcoin will fall to zero.

The most important these days, in tough times is our mental health. To be honest, it's just money, we should be careful and love our body because we can make it all back.
I'm just really sad for those people who lost everything and decided to end their life or hurt themselves.
What OP shared is really helpful, try to take a break from the market and make your mind clear first before getting back.

Its really depressing to see the market crashing and its normal for us to have worries. But as I have said before, even the price of Bitcoin and alts that I hold plunged, as long as im not selling then I have nothing to lose. Plus I dont monitor the market often, it can help to prevent myself thinking negatively.

Anyhow, its a good thing for me that the money I spent to invest in crypto is something that I can afford to lose just incase worst case scenario happened.

Indeed there is no other way for now other than we are patient and grateful.
Of course there are good things after this just believe it because if it is our sustenance then it will never be lost from us.
Just like what we are currently going through, of course there are many losses that we get but just be patient and wait for a good time that will change back what we hope for now.

You haven't lost anything, brother... Unless if you decided to sell your Bitcoins. Selling them means you have given up and accepted the loss.

If you look at the Bitcoin price history, you get to realize that Bitcoin gets higher and higher after every huge dump. If you were here in 2020 March when Bitcoin dropped to 3K. Those who did sell off are still smiling, even if they did sell up to today.

Those who sold at 3K could be cursing themselves to this date.

I believe only the strong hands will be able to survive this time and those who keep taking the advantage will always make profits in the end. The market crash may stay for long, and for some of us, its a great start to buy bitcoin and all those coins with high potentials, but for others this may mean the end of their crypto career. But always know that we will not lose if we won't sell this time, so just keep the patience and stay strong.  Crypto is something you can't expect to always on the rise, its has its own high and lows like any other real life life investments.

what the OP presented is more than enough to remind ourselves to keep on surviving no matter what the obstacles or pain we are experiencing right now. there's hope as long as we are alive. we may lose our savings or any other material things, but those can be replaced in time. just remember, it is not the reason why we exist. we have other people that are relying on us, so don't feel so bad, because you have other good things to be grateful for.

I just always think that this is not going to last and soon, the market will turn into bullish again. I've been here in the market for years so i know that this is going to happen, and i'm actually prepared for it. But for you OP who's into feeling stressed and depressed, just take a break first. And always think of the things that you should be thankful whether you win or lose in crypto.

The people who are panicking are the newbies - those who entered in 2020-2021, don't have experience with investing in general, encounter bear market for the first time in their lives. People who have been holding Bitcoin for many years and witnessed at least one full market cycle mostly don't care. Some have sold when the price was high and are now buying, others never sold and just keep HODLing and will do it for many more years.

My thoughts and best wishes to those feeling the pain right now.

It's yin and yang. To everything there is a season.

https://www.youtube.com/watch?v=3eG_O1wEJ40

Thanks OP for sharing your strategies.
Without a doubt we are all experiencing distressing moments due to the surprise crypto market crash.
Staying calm and thanking God for the opportunity to fight for a new day is paramount with the ideal that after the storm comes calm.
It's been frustrating the last few days but thanks to our community all together we will get ahead.
When I remember the uncertainty caused by the pandemic that paralyzed all the markets, it makes me convince that bitcoin will have a new ATH and we will forget this bad moment.

Whatever type of investor you are, when you see red you will not feel good. Specially when the negative out put is so much. I can't even imagine how those people that invested on top are feeling right now, let alone those that do leveraged trading and have had their positions liquidated. And while we're at it, let us also think how awful those people that have used money that they could not afford to lose and really lost it must be feeling right now.

No wise or great quotes out there would be able to erase the pain, the self blame and disappointment that most are currently experiencing in a bearish season such as this one. But yes, there are ways to reduce these negative feelings making what you mentioned a part of those ways. Another one of them is acceptance which makes grief pass faster. Of course, this is only true to myself and may not work for everyone since not everyone are having the same experiences as the other. Heck, there may be some people that have lost everything.

IMO, I believe this kind of situation is always happening in the crypto market, and because it was repeatedly occurring at any given time, that's why it's not new to many crypto users and investors but for those novice users and investors it's a big deal, and im sure they are already in panicked mode, while some are selling at a loss, But base on my experience this market crashed is not so severe compared before that's why I believe the market will recover again so Bitcoin holders must stay strong and don't give up just hold I'm sure it will recover soon.

Anyway, the best strategy to cope with this so-called market crash is to continue believing in the crypto industry, particularly in Bitcoin because it already happened before and in the end, the result was still the same. Bitcoin will always recover with flying colors.

Did you cash out ?
If you did not cash out, you have not lost is what I believe, in the morning when I woke up it was around -10% and then right now it's around -7% which means that there is still hope! Bitcoin is definitely showing signs of crash some people are also saying it's *price correction* but I do think it's just few factors which we will get over soon enough.
1. Fed rates increase
2. Stock sell off
3. Extreme inflation
We have already learned how it is not easy to wait but if you are patience then at the end of the day you would be able to navigate through the whole market. Trading is also the option as well but it's better to hold and wait and resist selling.

I don't need any coping strategies. I simply know Bitcoin's potential in the long run. I'm not a "live for the moment" kind of person. I look into the future and BTC is the future of money. Easy peasy.

We will keep fighting until we are dead, this market crash is nothing to what we have experienced, we can still hope for a brighter future while we are still breathing.

I am very thankful to have a wonderful family, they support me in times of lost, not just in times of ease. You know sometimes you can really see who are the people that loves you the most when yo are in distressed.

A nice and humble home is enough, if there are more to come why not. There are people around the world that doesn't have a home to live in. Good thing I am not only into Crypto currencies, we have our own real jobs and thankfully we are in still good standing. So keep on holding if you can still manage to eat out of your daily incomes.

I agree with you. As you garner more experience in the market, you grow thicker skin such that when the market plummets you don't even bat an eyelid . However, I am still curious to know how were able to deal with the emotions you felt at the time when you experienced your first bitcoin/ crypto market crash?

If you are new to the crypto environment, one can easily get affected mentally during times like this where the market crashes. One thought to console self with is that - "you are not alone", the market situation is in no way a fault of yours or a result of your actions, so you don't have to get depressed about it. You are not the only one being affected, so you have to be strong. Worrying about something you cannot change is futile.

Your strategy at this point is to take calculated actions to try and mitigate the losses for the now. It is a temporary market situation and that should give you hope as well.

Nothing. After being in this industry for 6 years, you simply just get so accustomed to being down by huge percentages. The only difference is that I'd be spending far less money on useless crap, and start deploying more money to the markets.

Learning from the History of Bitcoin and understanding what is in it.  This will pacify all the doubt and worries of any holders, why?  Because if we learn and understand the Bitcoin market, we will be aware that after this crashes, series of Bitcoin ATH awaits.

It is best if you have long term strategic investment and if you can turn off Internet, it is good too.

Sometimes, it is impossible to control emotion so if you connect to the Internet and see price crash, you can not control your fingers. You can also get headache and heart attacks in worst time. I don't want anyone to get health issues because failure in investment but it is what traders and speculators have to carry in their lives.

Bitcoin is good one for investment, deflationary, decentralized and you have your keys to protect your coins. Nobody can seize your bitcoin it they can not have access to your wallet or your account on exchanges; or can freeze your Bitcoin in your wallet (non custodial wallet)

We are born with nothing and we will die with nothing.
Material possessions,money and financial assets are temporary.They just come and go.One day you have them and the other day they are gone.Unfortunately,we live in a system,where money and financial assets determine our social status and our artificial value as human beings.
A buddhist monk once told me "Life is like the stock market.There are ups and downs" I guess that we have to embrace the downs,not just the ups.The bad times are an opportunity,not a reason for pointless drama.
The panic on the crypto markets will come and go.We just have to HODL and wait for the panic to go away.

When things like this happen it's easy to spot those that got into BTC / crypto as a way of commerce vs those who got into BTC / crypto  for a way to invest for their future vs those who saw it as magical internet money and a way to get rich.

As of now we are not even CLOSE to the largest % price drops.
We may or may not get to them
I'll keep buying.

-Dave

The problem for some people is that they have become too exposed to the volatility that exists in the crypto market, and in other words it means that they have invested much more than they are willing to lose. For someone who has 100% of their savings invested in Bitcoin or any altcoins, such moments are without a doubt a real tragedy, although it is an even greater tragedy if they sell everything they have and thus make a real loss.


My strategy is to be fully aware that I can lose everything at any moment, and when something bad happens it doesn’t affect me like you or some other people. This is not the first or last time something like this has happened, and it would be good for people to learn something from it all. The things you mentioned are really much more important in life than the price of Bitcoin, which will soar again in the future. We may have to wait for that until the next halving, it may happen sooner - but the fact is that after every similar situation Bitcoin will be even stronger.

There's no gainsaying that there's panic everywhere. Some people have likened the 2022 Bitcoin and crypto market crash to watching their house getting burnt down. And at this moment, it doesn't matter whether you invested $100 or $1000 in the market, everyone is feeling the heat. Today, I woke up feeling sober. I was thinking deeply about how much stress, anxiety, depression, and the toll the recent market crash has on the mental health of those who in the crypto community. I also thought about what strategies people are using to cope with the loss.

For me, practicing gratitude is my number one go-to-coping strategy. So, every morning, I look in the mirror and say aloud three(3) things that I am most grateful for.

Today 12th May 2022, I am most grateful for:

1- The gift of Life: So long as I am alive, I have hope for recovery, regardless of how much I lost.

2- Family: I have received so much love and support from them in past few days.

3- Roof over my head: I have lost so much but at least, I still have a roof over my head.

What are your strategies for coping with the Bitcoin and crypto market crash?