The current crypto market crash, albeit significant, should not be a surprise to market veterans. The market has seen its fair share of ups and downs for participants to know that crashes are part of the game. Let’s discuss what you should know about navigating a crypto crash.
How To Navigate a Crypto Market Crash?
Bitcoin (BTC) has seen substantial volatility in its decade-and-a-half-long journey. BTC breached the $10,000 mark for the first time in 2017, climbing to a peak of $19,834 in December of that year. The original crypto reclaimed the $19,000 level in December 2020, nearly three years later. BTC then went on to experience one of the most significant bull runs in crypto history in 2021, hitting a new peak of $68,742. The cryptocurrency then faced another massive correction, falling to the $15,000 price level in 2022. BTC then picked up the pace once again in 2024, breaching the $100,000 mark for the first time in its history.
The picture I’m trying to paint is that market crashes are rather common in the crypto space. Volatile swings and violent dips have become known as frequent visitors. What many investors do is buy more assets when prices are down, given that the pattern shows that prices will eventually go up.
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What one should not do is panic. Many become emotional and lose control when the market takes a violent turn. It is of the utmost importance to keep calm and remember that the crash is a part of the crypto market. One only needs to look at the historical data to know that the pattern is pretty straightforward. While the current crash is disheartening for many, it will most likely turn around in the coming months.