Does investing in crypto still make sense?

Does investing in crypto still make sense? I’m afraid that the bull market has ended, and want to sell my coin. But I don’t know yet what to put my money into.

Does investing in crypto still make sense? I’m afraid that the bull market has ended, and want to sell my coin. But I don’t know yet what to put my money into.

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6 answers


Agata Miód

I’m not gonna give you investment advice. Instead, I’ll tell you what I would have done if I were in your shoes.

 

First of all: Today’s economy is… peculiar. Only a while ago interest rates (At least in Europe) were close to zero or even negative. Still, after their hike two things remain true: bank deposits with their rates are being consumed by the inflation, and oh boy, they're eaten fast… Ordinary guy with a financial surplus, knowing that his bank deposit still can’t protect his money from inflation, buys real estate… and his rental ROI is below inflation too ;)

 

To sum it up - It’s your call. Where do you want to get into If not crypto? What markets do you have enough knowledge about? Enough to be an investor/trader in them, not an amateur. If none, I’d stay in crypto, because I know I can understand it well enough.

 

Another thing: What do you mean by “the bull market has ended”? Please consider that expert opinions are contradictory. One is gonna say “sell! bull market has ended” and another one will point to a chance to buy, arguing that it is going to rise again soon enough.

 

And the most important thing: What's your goal? What do you want to achieve? Opportunities like buying 1 BTC for a dollar and selling for $40 000 are long gone. Won’t happen again. Moderate profits? Protection of capital? Still possible.

I’m not gonna give you investment advice. Instead, I’ll tell you what I would have done if I were in your shoes.

 

First of all: Today’s economy is… peculiar. Only a while ago interest rates (At least in Europe) were close to zero or even negative. Still, after their hike two things remain true: bank deposits with their rates are being consumed by the inflation, and oh boy, they're eaten fast… Ordinary guy with a financial surplus, knowing that his bank deposit still can’t protect his money from inflation, buys real estate… and his rental ROI is below inflation too ;)

 

To sum it up - It’s your call. Where do you want to get into If not crypto? What markets do you have enough knowledge about? Enough to be an investor/trader in them, not an amateur. If none, I’d stay in crypto, because I know I can understand it well enough.

 

Another thing: What do you mean by “the bull market has ended”? Please consider that expert opinions are contradictory. One is gonna say “sell! bull market has ended” and another one will point to a chance to buy, arguing that it is going to rise again soon enough.

 

And the most important thing: What's your goal? What do you want to achieve? Opportunities like buying 1 BTC for a dollar and selling for $40 000 are long gone. Won’t happen again. Moderate profits? Protection of capital? Still possible.


1 like

Krystian Adamek

Not into real estate for sure ;) The bubble is gonna burst anytime (yes, there indeed is a bubble) and the worst part: we don’t know what it brings. A slump? Possible. Only a small decline? Can happen.

 

Too much uncertainty. For me at least.

 

Heard opinions that the only real estate that is worth investing at the moment is land, because it’s not overpriced yet. But I’m no expert in that field. You’ll need to ask someone else about it.

Not into real estate for sure ;) The bubble is gonna burst anytime (yes, there indeed is a bubble) and the worst part: we don’t know what it brings. A slump? Possible. Only a small decline? Can happen.

 

Too much uncertainty. For me at least.

 

Heard opinions that the only real estate that is worth investing at the moment is land, because it’s not overpriced yet. But I’m no expert in that field. You’ll need to ask someone else about it.


1 like

 maurycy długi

Short term? Don’t exit the investment. Allocate. I presume that you’ve got more in BTC. This one’s future is uncertain, especially if we add up political attacks and ecological controversy (energy usage).

 

Ethereum might be the nice candidate. The coin will soon switch from proof of work to proof of stake, which means a drastic fall of networks energy consumption (like 1% of today's need). That change is a statement. Loud one. It might bring a really positive mainstream media coverage, and in effect - an increase of popularity.

 

Long term? Keep your coin where it is, and keep your mind occupied ;) If the world is going into turmoil, BTC will rise a lot. If the situation is going to stabilize - BTC will still grow long term, but slower (and with some fluctuations on the way - don’t let them get into your head!) which will successfully protect your savings from inflation.

 

In the short term, Bitcoin’s fluctuations can give you a heart attack. In the long term it really is, at least in my humble opinion, the virtual gold it was designed to be.

Short term? Don’t exit the investment. Allocate. I presume that you’ve got more in BTC. This one’s future is uncertain, especially if we add up political attacks and ecological controversy (energy usage).

 

Ethereum might be the nice candidate. The coin will soon switch from proof of work to proof of stake, which means a drastic fall of networks energy consumption (like 1% of today's need). That change is a statement. Loud one. It might bring a really positive mainstream media coverage, and in effect - an increase of popularity.

 

Long term? Keep your coin where it is, and keep your mind occupied ;) If the world is going into turmoil, BTC will rise a lot. If the situation is going to stabilize - BTC will still grow long term, but slower (and with some fluctuations on the way - don’t let them get into your head!) which will successfully protect your savings from inflation.

 

In the short term, Bitcoin’s fluctuations can give you a heart attack. In the long term it really is, at least in my humble opinion, the virtual gold it was designed to be.


1 like

Dawid Wośniowski

It depends on your knowledge of crypto.

 

There’s a rule of thumb in the field of investment, that’s still good in the field of cryptocurrencies: You are either very good - and you have gains… most of the time, or you are “only '' good, mediocre or bad, and you lose. And you keep losing up to the point of becoming superb.

 

The alternative to this process, to losing all the time, and finally becoming a winner at the finish line, is… to stay ignorant ;) And to profit from it.

 

How come?

 

Crypto market is on the rise, with some turmoil in the middle, but still, in the long term, it is going to rise. When you find yourself in a growing market, You can literally invest random amounts of cash in random coins, and still win in the long run. In a growing market you can literally flip a coin, randomize, or even connect your hamster to the interface that will allow it to buy or sell various coins… and you are going to keep earning money (btw. a hamster is not a random metaphor here ;) https://www.youtube.com/watch?v=8v1-NoEeTCo ) In those conditions, it’s easy to unknowingly grow your ego. To start thinking “Gosh I’m good! Such a great investor!”. It’s an easy way to lose your nerve and money on the first downside. Be careful not to go that way. Beware of panic, it’s the worst advisor. We will find out if the bull market ended or not in a week or two. I myself considered all options: to sell, to keep my assets, or even average down. I do not know which is the best one.

It depends on your knowledge of crypto.

 

There’s a rule of thumb in the field of investment, that’s still good in the field of cryptocurrencies: You are either very good - and you have gains… most of the time, or you are “only '' good, mediocre or bad, and you lose. And you keep losing up to the point of becoming superb.

 

The alternative to this process, to losing all the time, and finally becoming a winner at the finish line, is… to stay ignorant ;) And to profit from it.

 

How come?

 

Crypto market is on the rise, with some turmoil in the middle, but still, in the long term, it is going to rise. When you find yourself in a growing market, You can literally invest random amounts of cash in random coins, and still win in the long run. In a growing market you can literally flip a coin, randomize, or even connect your hamster to the interface that will allow it to buy or sell various coins… and you are going to keep earning money (btw. a hamster is not a random metaphor here ;) https://www.youtube.com/watch?v=8v1-NoEeTCo ) In those conditions, it’s easy to unknowingly grow your ego. To start thinking “Gosh I’m good! Such a great investor!”. It’s an easy way to lose your nerve and money on the first downside. Be careful not to go that way. Beware of panic, it’s the worst advisor. We will find out if the bull market ended or not in a week or two. I myself considered all options: to sell, to keep my assets, or even average down. I do not know which is the best one.


1 like

Karol Kieltyka

I'll not answer your question. Instead, I’ve got a piece of advice: Beware of experts too confident in their answers.

 

Why?

 

Because too much is going on at the moment, to be sure of anything.

 

We indeed live in “interesting times”. Unprecedented. Pandemic is a factor that may already be in reverse, or we may just enjoy the calmness inside the eye of a hurricane. Electronics crisis may be ending, or it might be a beginning. Global transportation problems? - the same. Ukraine may be at the brink of war with Russia… or it can be only a series of global power plays. There are more global factors like that, and every one of them may escalate or de-escalate anytime. And every configuration of those factors will have different results on the markets (crypto included).

 

The only thing I would strongly advise against, is to panic.

 

Personally, I promised myself not to touch my crypto. I have a feeling that every decision made now would be groundless. And I decided to keep it that way until the future becomes less dim.

I'll not answer your question. Instead, I’ve got a piece of advice: Beware of experts too confident in their answers.

 

Why?

 

Because too much is going on at the moment, to be sure of anything.

 

We indeed live in “interesting times”. Unprecedented. Pandemic is a factor that may already be in reverse, or we may just enjoy the calmness inside the eye of a hurricane. Electronics crisis may be ending, or it might be a beginning. Global transportation problems? - the same. Ukraine may be at the brink of war with Russia… or it can be only a series of global power plays. There are more global factors like that, and every one of them may escalate or de-escalate anytime. And every configuration of those factors will have different results on the markets (crypto included).

 

The only thing I would strongly advise against, is to panic.

 

Personally, I promised myself not to touch my crypto. I have a feeling that every decision made now would be groundless. And I decided to keep it that way until the future becomes less dim.


OpenAI BOT

Investing in crypto can still make sense depending on your investment strategy and risk tolerance. While the bullish trend may have slowed down, the crypto market is known for its volatility and potential for high returns. Before deciding to sell your coins, consider diversifying your portfolio by investing in other assets such as stocks, bonds, or real estate. This can help mitigate risk and protect your investment against market fluctuations. Ultimately, the decision to invest in crypto or any other asset should be based on your financial goals and individual circumstances. It may be a good idea to consult with a financial advisor to discuss your options and make an informed decision.

Investing in crypto can still make sense depending on your investment strategy and risk tolerance. While the bullish trend may have slowed down, the crypto market is known for its volatility and potential for high returns. Before deciding to sell your coins, consider diversifying your portfolio by investing in other assets such as stocks, bonds, or real estate. This can help mitigate risk and protect your investment against market fluctuations. Ultimately, the decision to invest in crypto or any other asset should be based on your financial goals and individual circumstances. It may be a good idea to consult with a financial advisor to discuss your options and make an informed decision.


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