So, what if there's a [crypto crash](https://www.investopedia.com/crypto-crash-what-investors-need-to-know-5272147) today? What would you do?

The crypto market is crashing again, and it seems to be here to stay this time. If you're one of those to have lost money in the crypto crash, don't worry! You're not alone.

Here, we will discuss some tips for staying afloat during a crypto market crash.

## Surviving the Painful Market

A down market is always a painful experience for any business. It's not a matter of if it happens; it's only a question of when. 

The sooner you adapt to the current market conditions, the faster you will be able to ride out the inevitable correction.

In the meantime, it's important to take a few steps to ensure that you can continue to operate profitably during times of stress. Here are ways to prepare for a crypto crash.

1.	Don't panic - remember that the market always goes up and down, and this is just a temporary dip.
2.	Do your research before buying any new coins - make sure you understand what you're investing in and why.
3.	Sell off any coins you don't need right now - you may not want to sell at a loss, but it's better to take a small hit now than to lose everything later.
4.	Keep your coins in a safe place - preferably in a wallet that you control, rather than an exchange.
5.	Don't invest more money than you can afford to lose - remember, this is still a high-risk investment.
6.	Try to stay calm and remember that crypto markets are notoriously volatile. Prices could rebound at any moment, so it's important not to panic and sell all of your assets at a loss.
7.	Keep an eye on the news - often, crypto crashes are caused by negative news stories or government regulations. If you can stay updated on the latest crypto news, you'll be better positioned to weather the storm.
8.	Diversify your portfolio - if all of your eggs are in one basket, you're bound to lose money when the market crashes. By diversifying your portfolio across different assets, you can minimise your losses and come out ahead in the long run.
9.	Stay positive - it's important to remember that this is just a temporary setback and that the market will eventually recover. By staying positive and keeping your head up, you'll be better positioned to weather the storm and come out ahead.

## Conclusion

In conclusion, It’s a good idea to diversify your portfolio. But as a crypto investor, you need to diversify more than just your portfolio. Diversification is a big word for something as basic as deciding which cryptocurrencies to invest in.

Don't invest in a specific market, which means avoiding falling in love with anyone's coin. That's why it's so important to diversify your holdings.
 
For more Markets news, see [here](/news/category/crypto-business-news).
 



Crypto Crash Today? Ways to Ride it Out

Bear markets have made people very wealthy. Though it is safe to assume that many traditional investors aren’t thinking that now may be the time to begin hoarding digital assets like Bitcoin, Ethereum or even Dogecoin. One standing fact of this market is that common, ordinary investors won’t come near it, not in its current state.

What the market is going through right now is…normal. What we are experiencing is an anticipated, if not long overdue, inflection point within a timeline of a market that is still on the path to maturity. In other words, these are healthy bear market conditions that will allow an over-hyped market to catch its breath, after 6-months of cryptocurrency mania. Believe it or not, investors have much to gain in an environment like this, whether they are disciplined investors with a long history of traditional stock trading or newbies who just want in on the digital currency action – the blood in the streets is being seen, by some, as the first real opportunity to buy cryptocurrency in a long time.

## A Chance for Investors

This bear market presents a rare chance for investors to build their understanding of blockchain applications and consider more deeply the wide array of digital assets on the market and, using sound logic, make a trading decision in the absence of the freakish mania and omnipresent “FOMO” (Fear of Missing Out) factor that was so prevalent in the 2021 digital assets market. 

The fact is the recent market crash has chased off a lot of money, including fresh money from would-be investors that were just on the precipice of the action before the market went south.

## The Stratospheric Year of 2021

But every financial market, digital assets included, goes through a cyclical trend. In the two years leading up to 2021, a wide array of well-capitalised digital assets suffered huge losses, in some cases losing 90% of their value. I recall when Bitcoin was reigning at $20,000 but then deflated to a lethargic $3,000 at its nadir. Despite the market’s bellwether currency slumping more than 80%, it went stratospheric in 2021, starting the year under $30,000 and then reaching a peak of close to $70,000 in November of 2021.

## Key Takeaway

Here is the lesson - every digital coin worth looking at has shed at least 50% of its value this year sending the market’s capital down from $3 trillion to just over $1.5 trillion. But with the right approach, and the right plan, this kind of a bear market presents one of the best opportunities in the history of the cryptocurrency market. Yes, cryptocurrency critics are back with full-throated vigour shouting “told you so!” but you know better. Let’s understand that the market requires days of carnage to pave the way for the heady days we had in 2021. 


Embracing the Beauty of this Bear Market

The world’s most heavily capitalised digital asset, Bitcoin, celebrated its 13th birthday last week, but the cryptocurrency market’s mood has been far from “celebratory,” despite all that Bitcoin has achieved since it was launched in 2009.   January 8th marked the seventh-straight day in a row that the digital asset’s value trended lower – Not since 2018 has there been such a steady decline.

Last year, while crypto-enthusiasts were applauding the digital assets market for finally achieving “mainstream adoption,” a crucial inflection point, other cryptocurrency analysts were trying to warn investors that the fever pitch and accelerated values may trigger a late year sell-off.  They were right. 

How did we get here?  As Bitcoin slips toward the psychological floor of $40K, crypto-investors are anxiously looking for any credible news or trends to suggest that the current market sell-off could finally be ending. 

Let’s all take a collective breath as we consider some important facts.

First, the month of January _always_ seems to spook investors with sudden dips.  This historically creates a domino effect that chases the newer investors out of the market, and it appears that 2022 will be more of the same.  Yes, this sell-off has been especially disconcerting as Bitcoin has shed 10% of its value in the first ten days of 2022, but a closer look at the market players reveals some answers. 

If one considers the role the Federal Reserve has had to play in all this, especially their reaction to the pandemic, the sell-off becomes less of a mystery.  During the pandemic, the Fed was very lenient on the economy and even went so far as to inject over $4 trillion into the economy.  It was a move to support the global marketplace while the world’s employers struggled to find a way to stay in business with much of their workforce needing (or wanting) to work remotely.  Now, as the world’s economies begin to stabilize, the Fed is starting to give signals that it may be thinking about taking some new steps to minimize the rate of inflation - rates that are now at their highest level in forty years.

A simple review of the minutes from last week’s Federal Reserve meeting served to only further fan those flames.  Word began to spread across the media channels, and the rout was on. 

It’s also worth noting that most investors still categorize cryptocurrencies as “high risk” investments.  In so doing, the cryptocurrency market will continue to react with _sell orders_ whenever the Fed hints at tempering the market like it did last week.  So, the big question becomes, especially for the investors who piled into the market late last year, when does this carnage end? 

As of this weekend, Bitcoin was down 35% from the all-time high, but some influential players are sensing better days are ahead.  Are they correct?  The price of Bitcoin is continuing to edge closer to the $39,570 mark.  That’s approximately where Bitcoin’s price hit a floor in September 2021, before going on an upward tear.

In fact, a strategist from Bloomberg made comments earlier suggesting that Bitcoin could _outperform_ traditional stocks in 2022, especially if any moves are made by the Fed to raise interest rates.  The strategist stated: “Cryptos are tops among the risky and speculative. If risk assets decline, it helps the Fed’s inflation fight. Becoming a global reserve asset, Bitcoin may be a primary beneficiary in that scenario.”

Remember, the technology behind these digital assets is still very new to the mainstream public, and there was a lot of FOMO activity that took place in late 2021.  As the market cools, it is establishing a new baseline.  We’ve been here before.

Is it time to pick up some bargains?

Cryptocurrencies Prices Plummet

We have been here before.  The “flash crash” that occurred the morning of December 4th can likely be attributed to many factors, but the lesson is the same - investing in cryptocurrency requires the wherewithal to deal with extreme volatility.  [Bitcoin](/coins/btc) continues to reign as the industry titan and when the price suddenly plummets, like it did Saturday morning, altcoins and other cryptocurrencies are likely to follow suit. 

Crypto-investors found themselves having to deal with that exact scenario this past weekend.

## Omicron Variant Effects Prices

Hopes of seeing Bitcoin achieve a year-end price level of $100,000 were dashed in only moments when monetary policy rumours and speculation about the new Covid-19 variant, Omicron, sent tremors through the cryptocurrency marketplace.

The world’s original cryptocurrency suddenly lost more than 18% in value, dropping to as low as $42,875…_all within the span of a single hour_.  As the new week begins, Bitcoin has already recovered some of that value back, creeping just above $50,000.  But, still well below the $55,000 - $59,000 price range the digital coin traded in the week prior to the crash.

Don’t act surprised.  Experiencing a 30-40% price fluctuation within a single month is something to be expected as the cryptocurrency market continues to mature.

## Buy The Dip- Opportunity?

Following closely behind Bitcoin, the world's _second-_largest cryptocurrency by market capitalisation, [Ethereum](/coins/eth), declined to $3,525 per coin – the digital asset’s lowest price in a month, though it has since recovered some of the lost value. 

There are investors among us who have waited patiently for this opportunity.  The more experienced crypto-investors among us are seeing a familiar pattern – a significant and sudden market decline “washes out” the crypto-newbies who’ve been playing the cryptocurrency market like a casino, and while those players are making for the hills, the more prudent among us view the market carnage as a buying opportunity.

In other words, is this an opportunity to “buy the dip?” 

Even if we take Saturday’s precipitous drop into consideration, Bitcoin was trading just over $29,000 when 2021 began so it is still up over 65% on the year.  Lately, we seem to have been standing on the edge of what many would consider “mainstream adoption” of cryptocurrencies like Bitcoin and Ethereum.  But those aren’t the only two “would be” buying opportunities right now. 

## Rise of The Altcoin

Last weekend’s sell-off affected other altcoins that had been riding a trend of popularity in 2021, making such affected digital assets no less enticing in terms of “buying the dip.”  [Polkadot](https://coinmarketcap.com/currencies/polkadot-new/), which trades under the symbol DOT, looks especially appealing right now.  The digital asset lost nearly 10% of its value in the first 24 hours of the sell-off, but most suspect the decline had come as a result of the broader market sell-off.

At present, Polkadot is showing signs of recovery which would suggest strong investor support for this suddenly popular digital asset.  Polkadot has evolved to find a place on the list of the top-ten largest cryptocurrencies by market capitalisation, we assume for a reason.  Investors looking for solid projects to invest in that demonstrate future potential might have a reason to consider Polkadot right now.  Like, _right_ now…

Latest Moni

#BEAR MARKET | Page 2

Read the latest Bear Market crypto news.

Crypto Crash Today? Ways to Ride it Out

Embracing the Beauty of this Bear Market

Cryptocurrencies Prices Plummet

Popular Altcoin Prices Drop in Unison

Dash or Litecoin? Crypto Comparison

How to Buy Altcoins

BTT Crypto: BitTorrent Token Price