With the increasing comments on the arrival of a bear market amid heavy price drops, DeFi Edge, a Twitter user, asked crypto experts what advice they have to offer for traders who are experiencing the bear market for the first time.
Guy Swann put buying Bitcoin (BTC) at the top of his recommendation list to bear market newbies in reply to the thread. Swann also advised traders to keep their own keys, disregard market prices, and stack routinely.
• Buy #Bitcoin
• Hold your own keys
• Ignore the market price
• Stop gambling on garbage
• Get rid of leverage
• Stack regularly
• Prepare for a financial collapse
• Take care of your family
• Use any extra time to learn the new Bitcoin tools & services
— Guy Swann ⚡️ (@TheGuySwann) May 19, 2022
Notably, these past two weeks has been acted as a bloodbath for crypto investors, with most of the coins going down to their year bottoms. The unfortunate series of events got catalyzed by the failure of TerraUSD (UST) stablecoin by Terraform Labs, which led to LUNA drop by 100%. This created massive panic among investors, leading to further sell-off in the market.
Has the Bear market arrived?
A crypto bear market is distinguished by various aspects, including a loss of investor confidence in the market, a protracted period of dropping prices, lower highs when positive news arrives, and lower lows when bad news arrives. Against this background, Erik Vorhees encouraged traders to “do nothing.”
If you're a humble hodler: Do nothing. Your seeds are planted. The wheat will grow in the spring.
If you're a crypto business: ensure you have 24 months of runway immediately. This generally means cutting spending.
— Erik Voorhees (@ErikVoorhees) May 19, 2022
Normal traders, according to Vorhees, do not need to do anything because their “seeds are planted,” and the “wheat will grow in the spring.”
Voorhees, on the other side, stated that crypto firms must cut back on spending and ensure that they have “24 months of runway.”
Nic Carter also chimed in, offering guidance to market participants. Carter believes that the crypto community should need to concentrate on creating goods that people want. He also warned against expecting everything to make a comeback, stating that “some things die permanently,” apparently referring to LUNA/UST disaster.
The current market sentiment clearly indicates the setting sun and the arrival of a quiet night in the form of a bear market. However, many are still in the hope of a reversal.