Cryptocurrencies are unpredictable, as their whole market and concept are. One day, they are worth a few thousand, and over the night, the prices can drop to the point we are asking can that currency survive? Many crypto enthusiasts and experts have different opinions on how to protect their earned money if Bitcoin crashes one day. As the situation is showing us, this market has a huge potential to grow rapidly. Those who own some crypto coins are now in an urge to exchange them, some of them still keep the amount safe in their digital wallet, and the interesting thing is that even those who weren’t interested in cryptocurrencies are now more open to investing.
Everyone can become a part of this market. It’s huge and it has enough space for everyone. And of course, it’s not just the Bitcoin you can trade with. Trading websites are also educational for their clients, and they let you create your plan and strategy, follow the offers, or offer what you have to sell.
Check for more info: https://bit-qt.app/.
Why it’s risky to save your Bitcoins forever?
You’ve probably heard this one million times, but the crypto market, in general, is very volatile – which means it can change over time without “announcements” or risky signs that will help you predict that. The term is borrowed from physics, where volatile means some substance can easily be evaporated at room temperatures. It’s a great analogy, right?
But, the situation is not as it seems at first sight. If you invested in Bitcoins when they were cheaper, and you bought 10 of them, you have 10 BTC all the time, no matter if it’s worth $100, $10,000, or even $40,000 – which means you aren’t losing anything until you decide to sell them. And if you bought them just to wait for the right moment to sell, it’s not how it works. So, even if the BTC comes to $1 each, you will still have 10 Bitcoins, that are less worth than the value you bought them for. This is an important thing to know, considering the market cycle. Probably there will be better times, but who knows, the market is volatile, remember?
In a case Bitcoin completely crashes and has a zero value, that’s one of the risks you need to be aware of. But, as an experienced trader, you will have to follow the fluctuations on the market, and you will be able to estimate when it’s the right time for such activity. Remember, once you sell your crypto coins for fiat money, and the transaction is complete, you can’t get them back, and you will need to reinvest your money again in another batch of Bitcoins.
When you see the price is slowly dropping, use the moment to save the money you think you have (remember, cryptocurrencies are virtual assets) and sell your Bitcoins. You can wait to see if it drops again. Monitoring the fluctuations is crucial in decision-making. The situation can be changed every hour, and you have to be very active if you really want to make a profit.
Surely, there is some software you can use to protect your savings, that will notify you when something big is about to happen. The safest way is to be inactive in the critical moments because you can easily make a mistake then.
Saving your Bitcoins forever is very risky, because once again, volatility, and knowing that there is a limited amount of BTCs on the market, we can expect that it will eventually crash one day and disappear forever. Being active on the crypto market means investing over and over again, offering what you have, and get the expected profit or above that. It requires huge dynamics, and if you can’t keep your step with it, then probably you shouldn’t invest a lot at the beginning.
It’s not a big deal?
Many people compare it to buying food for days and letting it rot and spoil in your fridge. Once you have to give up on the expired food, you don’t have doubts that you will put the leftovers in the trash, and forget about them, even though before you invested some money in it. Today there are Bitcoins, Ethereum, Dogecoin (which is very popular now), and many other worthy cryptocurrencies. And even if they drop, and you lose a few dollars because of that (making an assumption that you bought them when they were cheap), it’s just like that leftover pizza that you forgot in the oven, and it was moldy at the time go get rid of it.
So, if BTCs or the whole crypto market goes down right at this moment, you have nothing to worry about, if we can believe the popular writers who love this topic. They predict that once cryptocurrencies were invented, there will always be someone who will use the same concept to renew them, or even create new ones.
We know it’s a hot topic right now, but can you imagine investing $50,000 right now? We also can’t imagine that, so if you haven’t done it before, today is not the right time to buy Bitcoins. But if you already have them, then we are sure you are constantly in an urge to sell the coins, and forget about the crypto market forever. On the other hand, some predictions say that until December, it may reach up to $100,000 per one Bitcoin, and probably it’s worth waiting. But, once again – volatility. It can make things go wrong in the next hour or so.
The final words
There is no recipe that will ensure you will keep your crypto savings safe and secure, no matter the events on the market. The least you can do is not to take too risky steps, to plan what you will do in advance, and try to get the most of it, even when the prices are going down, but are still good for making some profit.