For many of you older Steemians this is just another day in cryptoworld which you have gotten used to by now. Some of you have learned how to protect yourselves from these corrections somewhat, while many of you just ignore them cause you know what is going to happen because it has happened time after time again. You just sit back and watch it unfold and decide to not take any action.
If I had a Steem for all messages I receive during these corrections, I'd probably be able to upvote myself a few $ worth. It's always the same questions: "What should I do?", "Is crypto crashing?", "Is this the end?" and each time I usually tell them the same thing.
No, crypto is not going to "crash", this is not the end and what you can do is either trade some of it to something more stable such as USDT (tether) or fiat on exchanges that allow it or just sit back and wait. Sure the latter is not as fun, you've already gotten used to your holdings being up a certain amount and being worth this much fiat value that watching it drop might hurt you. Many seem to quickly forget all the gains that they have earned in the mean time so I often like to remind them to zoom out.
This chart represents the total market cap of all currencies listed on coinmarketcap for the last month alone. We went almost 3x up in $ value in 1 month, of course there is a correction going to take place sooner or later. Nothing can go up forever without healthy corrections, they make look brutal on days like this but it only means that the next uptrend could be even bigger. There are also a lot more people involved now, a lot of newcomers and so called "weak hands" that will sell. If you haven't traded some of your liquid assets into fiat or USDT by now, it might already be too late, selling now increases the risk a lot that you might miss the next uptrend and find yourself holding less crypto currencies than before you sold. That's how fast these move, the volatility is immense. You could wake up the next day and without having set up stop-limit orders you might find yourself buying back at a loss.
Before I was involved with Steem I used to be one of those stressing a lot about my holdings, as most other currencies don't have incentives like Steem to give you influence over the reward pool and increase your stake. They are just there and the only thing you can do with them is speculate on market movements or invest them into new projects. I found myself often getting into trading during corrections like these, before USDT existed and there was only fiat you could trade it with on a few exchanges, it lead to you having to choose which coins you thought would drop less than others. It made me stress a lot, lose sleep and find myself often coming out shorter in crypto after the correction was over than had I just not acted on it at all.
Today there are a lot more options available, I'm sure many of you are prepared for these corrections but they also come with risks. One of them being that a lot of your holdings have to be on exchanges and that you could miss big movements on their way back up after you just sold cause you thought it would correct some more. This causes many investors to only trade with a portion of their holdings but it still becomes more than a gamble than just having held onto them and not cared about these corrections. Sure there is opportunity for you to gain more crypto out of it, but for anyone to win it means there have to be others that are losing out on it.
This is why I appreciate the Steem token a lot more, the incentives of being vested and active on the platform make it possible for me to just sit back and relax while I watch many others stress or regret their actions. To me it is like a completely different world cause I don't need to try and get involved with the trading as much and gambling, I can just focus on the platform and increasing my stake by being active here. In the long run it won't matter to me if I could've made 10% more Steem by trading it for Bitcoin and maybe being able to buy in cheaper, or made 30% by trading it for fiat or usdt and buy back when it's cheaper. It would mean I'd have to take a huge risk to possibly losing out to more experiences traders, insane volatility or the risk of exchanges going down with all the funds. I'd rather just keep the Steem vested and actively influencing the rewardpool and the users here with no stress, risk or fear that I could lose it. To me it doesn't matter what the $ or € value is of my stake, what matters is how much of it I have in Steem and what I do with it.
What are your thoughts on correction like these? Do you trade actively during them or just sit back and look at the long term perspective of things?
I agree 1000%.
Personally, I am a HODL. A 30% correction in the cryptoworld is nothing, especially after a 3x increase in a month. This is not like the stock market where a 5% move is traumatic. In this sector, a 5% move is a coffee break.
Each time it pulls back fiercely, it usually corrects in a day or two. The underlying development is the same as it was yesterday. There are thousands upon thousands of developers banging away on their keyboards creating new apps. Blockchain is changing the world.
My suggestion mirrors your...buy and ignore. Focus upon making this blockchain the best it can be and forget about the price action. It will take care of itself. For STEEM, it is going to be a wonderful Q1 when we eventually get the next fork. That is really going to blast things to another level in a big way.
As for the end of crypto, dont buy it. Wall Street still isnt here and it will soon reverse. Like stated, pullbacks are healthy. Markets need to reset after such long runs.
All the crypto moved in the last 24 hours is in stronger hands than it was a day ago.
This is simply how markets work.
So true... get some coffee and check back later... LOL :)
I did...my holding are down another 5% LOL.
Big money is made in cryptos by HODLing. It really is that simple. We can look back over the history of bitcoin and see some major pullback....over 60%.
Heck even STEEM dropped to under 10 cents...that had to be hard to take. Nevertheless, the ones who have a ton of SP now are the ones who didnt bail but hung in there (and even added if they could).
This is a multi-year deal for me. I do not fret too much about a couple days whacking a ton off the prices...this is going to happen. If I didnt want volatility, something like Treasuries might be a better play for me.
We all love the 40% jumps, need to expect 40% pullbacks at times.
I am a bit upset that I bought a decent amount before this correction, the reason I am upset is because I just bought more and I wish I had the money from the first buy to buy even more right now. HODL.
It's good time to just hold now after solid consolidating of prices. Im very satisfied of my holds in couple of weeks. IOTA is going crazy and got also some BTC when the price was 12k USD!
It happens usually after a week or two when the market crashes, instead of panicking , BUY BUY BUY! It’s perfect for a greater investment and outcome when it rises again in about a week. Keep calm , and hold on
HODL what u got, buy more if u can while it is cheap grab a beer and relax
Exactly.
This time I can see that most investors are cashing out.
Who could have thought BTC is as low as $11k.
cryptocurrency correction should not be a big deal cause we all know it could happen.
It is what it is so good.
keep on steemit.
Buffett says it well; "Be Fearful when others are greedy and greedy when others are fearful.”
Its almost a cliche this saying but it's powerful words if you look at them carefully. It's when you do the opposite of the market that you often make the biggest profits
This is totally the time to buy in big. I bought quite a bit in the BCH dip, which wasn't as good of a deal as I thought it was, but if you always buy the dip, you're in a good position to win big, so I'll keep on buying these dips.
I agree @dandesigns. Presently I am not adding (mostly since I dont have more fiat to throw at it) but I would understand anyone who does.
Times like these, the market becomes a feeding frenzy and mob rule takes over. It is not logical and sets itself at the lowest common denominator which is panic.
Buffett is know for using the analogy of things being on sale....cryptos are on sale for 45% off today....it might be a one day sale so best act quick.
That would be the marketing line if there was one.
Honestly, I don't care so much about my portfolio, but I would like to see increasing Steem and SBD again, because this gives so many opportunities to found new projects in different ways. I also hope the community grows and grows and I definitley can't wait for the Steemtokens :-D
Wow, thanks guys for the unexpected upvotes, gratefully yours Martin
It will increase...have no fear...well at least STEEM will. I have no idea about SBD since I never could understand why that took off to begin with.
The steem blockchain is just as solid as it was yesterday with all the developers banging away on their keyboards. We are going to see some incredible improvements in the next 3-4 months on this blockchain.
Pricing action is not reflective of what is taking place on the blockchain. That is ultimately what is most important. At some point, the pricing action catches up but markets have their own way of operating.
@acidyo thank for your post. My little understading before crypto is two side which is long term n trading. There is need to trade and buy some coin when there is pump and same applicable to when there is dump. In the history of sbd I used the increase in price to exchange to usdt and some to fiat currency.
It is our understanding about crypto the price not stable.
This is my little take buddy.
Another day, another dollar,,, either up or down, no worries, we comes to play (-:
You are right, market on a down trend for correction, it will boost again
This morning when I woke up, I saw the shift and I am annoyed I wasn't up later to see it start to play a little. This afternoon, I started writing a post with the title 'My trading grace' because I am much calmer than I used to be at these times. The saving grace for me is that I have Steem in a platform where I can use it to add value without trading it. It is a pretty great benefit IMO and one people should really be taking advantage of.
I agree with you
the thing is that alot of people joined crypto thinking to get rich quick. I remember when steem was worth less than a dollar and if we think about that price and assume on how much we might have earned when putting our money in bank deposit. We will always be in surplus. :)
this market I can call "Buy and forget"
Well I will saw in many instances crypto can get one rich very quickly (in under a year). That said, it does not mean it is a straight path up without pullbacks. And, in this arena, as we are seeing they can be fierce.
In the end, things move quickly both up and down. That is why it is HODL....hold on for dear life because the ride will always be bumpy.
HODL is the key dude, never ever forget the keys :)
i invested some $ in Bitcoins last evening but today That's very frustrated and dissappointed situation for new users including me. but after reading your in detail article now i am hopeful. thanks for worthy advices and guideline.
Emotion had no place in trading. You gotta think smart if you are going to trade, HODLing is better, you mitigate risks!
Absolutely agree with you! This panic should be used to buy more.
Buy the dip!
Awesome piece thank you
Its early xmas discounts. Looking to get in once waters get calmer and the pumping kicks in again
In this moment, I used to pump more fiat to buy the dips and sit back and pray
I feel Steem is special in the sense that you have more supposed "control" compared to other cryptocurrencies such as bitcoin or litecoin. In the bitcoin or litecoin market, you cannot directly influence the development of the network other than being a buyer or a seller. If you have a sizable holding, your exposure is a the mercy of the price forces.
Steem is somewhat different. In fact, superior to bitcoin/litecoin. Besides, the market buy and sell forces that influence the demand of Steem and SBD, you can directly impact the Steemit platform by simply writing original blog posts. Converting SBD to Steem or vice versa will also increase your ability to power up or down, resulting in a higher or lower payout.
Steemit gives people who are committed to the platform a better control. And control equated to less risk and higher potential payout.
The Big Players Cash Out There Money To Dump The Markets :) Now Btc 12k & tHAT what The Want To Buy Bitcoin With Lower Price :) & altcoin too To make a Big Big Profit :)
This unpredictable market is testing us
I would't worry about it too much. Corrections like these are actually quite common in crypto. If anything, they usually offer a great opportunity to buy crypto at lower prices.
I don't really care since I'm still up by a lot, but I expect the news media to report and install FUD to normies. Hopefully we'll pick up the same pace we had in October again.
i think reading this is heart warming...now i can relax
I feel like I am in a unique position that probably lots of other early adopters are feeling. I got into BTC at about 600 USD. So for the past while I've been quite comfortable with the situation I've been in with my investments. Which I see more as an investment into the future of this application of Bitcoin/blockchain/ smart contracts not an investment in my returns I could get if I cashed out today.
That being said with these corrections and with my beliefs in this technology I know what will happen to it, but for many who were buying BTC to buy and sell like stocks and got in at 19K USD and have no idea what bitcoin and blockchain are then I do understand the situation they are in and panic selling etc.. Do I feel sorry for them? Meh not really because everyone trades at their own risk. So if they were dumb enough to put all there money into BTC and panic sell once it started going down then thats there own doing.
Us here on steemit know better though! Or at least I hope :D
Hear, hear and Amen to those words of wisdom..............
I must say though the stories I've read, whether true or not, of people mortgaging or selling their homes to invest in cryptos was an eye opener especially when I was just reading about this last week. Can you imagine what some of these people are feeling on this pullback having recently invested so much in that way?
Thanks for distress explanation
I've been waiting since November for a correction like this, so I'm eager to buy some coins on discount, especially steem.
I'm a sit back and watch and see what happens next kind of guy. The gains this month were awesome. I'm still up overall, just not quite as much as it was. I'm looking forward to what happens next. I've only been trading for a couple months now and it's been very exciting and fun as well as profitable. Thanks to steemit's wonderful community of knowledgeable and friendly folks I have had great advice to follow.
Follow me guys and i will resteem and upvote your post.
I'm sure that in time is growing and we don't have to be afraid of the correction, as you said. It's normal to be fluctuation, but overall it's growing. And of course, like everywhere there is a risk we assumed. Well said, in this post.
Personally ! What i am going to do is just wait and watch hodl.
Also i will try to buy some more currency because of discounted price.its can be a great opportunity to buy some of coins at very less price.
Hi @acidyo, A lot is happening in crypto world and I think this does all the times. At this point in particular, BTC price is down so people are panicked because the altcoins they have invested in are also going down with respect to price.
The worst thing is, people always see the negative side. Exchanges work this way and trading or holding of these coins is always full of risk and opportunity. People take these risks because the pay off is HUGE.
Regarding, Steemit, I have entirely different perspective. I count is a separate platform and for that reason its currency has got individuality. What you said in this passage is what I've been discussing with my friends and new Steemians:
Great post.
Steem On!
@acidyo Lots of panicking today! Everybody is talking about bubbles and stuff! And I'm just sitting here, thinking how the whole cryptocurrency market capitalization was way smaller months ago. BTC' price dropped significantly, but hey, let's not forget what its price was last January!
Everything is fine as far as I'm concerned! It's just a Christmas gift for everyone of us, a huge chance to buy cheap crypto!
Everyone should take advantage of this!
Highest Regards
@lordneroo
Market price is always above and below. Fear during the time of business price correction
thanks for the info
Thank you for this perspective! I agree. To me these are long term investments and I'm watching them for months, not weeks. The news may be alarmist, but I'm not going to let it phase me. May buy up more litecoin :) graphs help! Thanks so much
It's not the end, It's just the 2's Black Friday. :) everything is cheap. buy alts!
Yeah nice words i must say for those who are scared of the drastic falling in price of bitcoin i must say they need not worry cause the reason for the drop is that people are exchange bitcoin to cash for celebration if you buy bitcoin now leave it from now till next year it will shock you for how it will start rising again. thank you for sharing with us.
Given the fact steem is one of the cryptos with more potential thanks to the network that is being developed with projects like dtube or dlive, I believe just holding steem is a good decision.
And what you said about avoiding stress is another plus!
Postingan yang bagus
I agree.. why worry.. it will be an uptrend afterwards.. This correction is a joke of crypto world.. if they believe on it they will lose much when it get serious.
I have absolutely no fear, even though literally all the coin are taking major dips. Sooner or later they will rise again, maybe in a day or a year, eventually, they will come back.
nice post, your think is right,I wish massive profits for all, i agree with you
Thanks for sharing such a valuable information, as I have not much idea about crpto, so I often use to follow the activities and advices from the great steemians such @acidyo, @exyle, @firepower etc.You people are very good and caring so if we managed ourselves to keep under the great umbrella, the rain can't ruine the crops. So thanks, your hope and expectations are our assets, if the crpto crash or something happened you are there to cure it. Thanks for sharing such a great post wish you a very beautiful time ahead friend.
At first I panicked because I was seeing my bitcoin worth go down, even I am still not understanding the correction yet, and I really wish someone can help out here with what to do with the bitcoin, I'm I to sit back and watch my bitcoin worth go down or should trade it out?
Thanks for this timely post, it really meant something
this is me. Yeah, btc is going down as well as SBD that makes me sad and i know most of us, esp those people who's taking the chance while the exhange was high those ppl who's planning to exchange i feel them, I believe Steemit is going to be one of the most succesful social media platform someday-soon, and SBD/STEEM will be one of the most known crypto.
p.s. thank you acidyo for... you know what i mean
Great analysis. I only started trading 2 weeks ago and my portfolio is still worth a bit more when I first bought. My plan was always for the long term, my only regret is that I can't buy more right now! My only question is why the sudden fall.
It looks like BTC has been meandering over the last few days and, after a few sales, everyone has just decided to cash in.
I’m sure it’ll bottom out in the end. Also, for a lot of us on here, all we have invested is time and brain power! And that’s not too bad a loss really.
Totally agree with you. There can not be constant growth. Sooner or later there will come a time for correction. It is because of such growth and fall that I left the exchanges. To me, as a gambler, it's safer to invest Steem, enjoying the possibility of curating and copyrights. Yes, and once again to talk is always nice. Thank you for the article.
Good luck to you and good.
Удачи Вам и добра.
I’m gonna buy the dip, of course. I took some gains on my XRP when it hit $1.20 last night and put it in other coins that were down already. Today I’m just trying to decide what to buy using fiat (got paid today).
Nice handle. When you do these type of actions what exchanges are you using? I only have a coinbase account. I'm asking wanting to expand into other coins/alt as we all know coinbase only holds 3. What would be your advice on this? Is there a wallet that holds many/recommendation? Just want the opinion of experience from the community and I welcome any and all answers. By the way were also using chrome books which aren't compatible with lots of wallets and will be purchasing a pc shortly but any advice on chrome books with wallets ie verge/smartcash or many of the other alts that seem to be incompatible or not supported. Thanks so much as I'm eager to wrap my head around these issues.
After so huge growth during last days, hard correction is normal. Why panic?