They were smart enough to know that an increase in the price is what attracts those who are fake coiners or those mainly enters when there is a positive thing that happens and then leaves immediately when there's a decline or any negativity in the market.
A wise bitcoin investor won't buy in an instant but they will research btc first if what is its mechanics. They will still buy at this point since they know that the price isn't highway yet since its last ath and they will learn to hodl it if ever there's a decline that will happen. Obviously they will know that btc is not a scam or a pyramid scheme but some can think of it due to how this system works.
A bitcoin investor will not rush into buying bitcoins because he will make sure everything goes according to his plan. Even if something goes wrong with his plan, he will not panic and will still be able to adjust himself in buying bitcoins. His observation of when the price of bitcoin is falling plays an important role in determining the time to enter the market so that he can buy at the right time.
When the bitcoin price drop occurs, they start doing research but if the price becomes unstable or fluctuates more often, he will know what to do.
Actually even you're bought at the peak and still hold until now, you're not wrong if you're using an amount afford to lose and still not sell your coins. You're not losing anything since it's still an unrealized losses, who knows if you hold for 4-5 years more, Bitcoin price will make new ATH and reach $100K? This is same like Bitcoin ATH was $19K on 2017, after Bitcoin price start recover and hit $19K again, many people who bought at $19K isn't a dumb person. If they're still holding their coins, they're still profit around $1K.
That thought is acceptable but not for people who are not real investors because they are looking for short-term profits. If we are real investors, we can buy bitcoins at any price but it would be even better if we can buy at low prices so that our time in waiting for bitcoins can be calm and will not panic.
Bitcoin price could reach above $100k but no one knows when that could happen. And if we can buy at a low price, we can relax for a while enjoying the price movement and can buy again if the price drops again. It will all depend on the strategy of each person.