The consistency of the dips in the last two days has had crypto traders speechless. It’s almost like the cryptocurrencies had a meeting where they made a pact to mess with the feelings of earthlings.
How else can anyone explain the loss of $375.85 billion in the value of the crypto market on Wednesday?
According to the coin market cap, in less than 3 hours, the crypto market that was worth $2.43 trillion on Wednesday evening dropped to about $2.06 trillion, that night. Bitcoin lost a whopping 15% of its market cap and is currently worth less than $50,000 per coin and Dogecoin further derailed to less than $0.4 as well.
The world has since then been thrown into a frenzy because while people with crypto are wailing at their losses and looking for how to cope with the dips, those without are in sheer wonder at how one individual could have so much power over the world’s wealth.
The world has, however, attributed this fall to the Twitter doings of Tesla’s CEO Elon Musk. Bitcoins value began to fall after Musk announced that the Tesla company would no longer be accepting bitcoin in exchange for their automobile anymore via Twitter.
Recall that during his hosting of the popular Saturday Night Live show, there was also a mini dip in the value of his “baby coin” Doge and the results of his present tweet doesn’t seem to make things any better.
The only way Musk can redeem himself at this point is if he does or tweets something again that makes the value of these Cryptocurrencies come up again just like he did dogecoin.
At a time when the whole world is grieving their losses in the crypto market, asking them to relax and not panic may seem cruel, but on the bright side, that is exactly what should be done. Although it seems a bit hard to take heed to these requests at such times.
Here are three things you shouldn’t do while this dip is ongoing:
- Panic selling: Many people, for fear of more loss go ahead to sell their crypto, forgetting that it tends to rise again. Panic selling only makes the dip situation worse because losses are incurred in the process. Although the value may further drop with time, it’s best to wait sometime before selling the value may rise eventually as well. Many early bitcoin traders can attest to this, as a good number of them sold their bitcoins during the big dip and went ahead regretting that decision when it started to do well again.
- Holding off on Buying Coins: Given the circumstances, this can seem like insane advice, but now is the right moment to purchase cryptocurrencies. But, if you were hoping to buy cryptocurrency but were discouraged by the recent drop, you are mistaken. This is the perfect time to invest, and you would gain more than if you did not buy the dips. Read more on our tips for the dips to learn how you can do this the right way.
- Blame Elon Musk: While accusing him would make us feel better about the crypto situation, we must remember that this guy suffered more than anyone else during this dip. His net worth dropped by over 27 billion dollars as a result of the dip. Regrettably, he can send cryptocurrency prices plummeting in a single tweet. This means he still can allow it to grow, so he stands to risk more if he does not. The very least you can do is inspire him enough that he tweets something that encourages the crypto market to rebound.
No one sees dips coming, so if you have opted to invest in cryptocurrencies, you should be prepared for further dips. Dips much worse than this, and then formulate a coping strategy to deal with those occurrences.
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