The outgoing year showed how unpredictable events and their consequences can be. The collapse of Terra (Luna), the fall of the second largest cryptocurrency exchange FTX, the bottom of bitcoin, the endless crypto winter and bear market trends.
After the year that was tumultuous in every respect, what strategy should crypto investors follow in 2023?
Smart investment
A smart investment strategy will help reduce risks and avoid the loss of digital assets. In a bear market, it's a good idea to always have cash in stock. Drawing on the experience, the most unpredictable events can occur in the crypto market. And such events can be an excellent opportunity to purchase crypto assets at a low price.
Analysis
Analysis is one of the most important preparatory steps in investing. Invest only in those projects that have experienced at least one crypto winter and a bear cycle. In addition, it is very important to familiarize yourself with all the technical documents, evaluate the project roadmap, that is, its long-term strategy and community.
Diversification
We all know that investing is first and foremost about preserving capital. In this case, a certain percentage of your assets can be invested in blue chip cryptocurrencies such as bitcoin and ether.
There is no secret sauce to become a millionaire in the cryptocurrency market. But still, there is one important rule: always buy cryptocurrency at a low level, and sell at a high level, and the coming year of 2023 can be an excellent opportunity to start, since prices in the market are low.