If you’re reading this right now, we must have had a pretty rough couple of days in the crypto markets.
Or perhaps we’ve been deep in the red for many weeks.
Or, God forbid… This crypto bear market has been going on for months with no end in sight.
Whichever it is, this situation definitely sucks, there’s no way to sugarcoat it.
The euphoria of higher highs feels nothing but an old memory, and you’re left wondering why you ever got so deeply invested in crypto in the first place.
Before you despair though, remember this:
Weak hands create bad times..
Bad times create strong hands..
Strong hands create good times..
Good times create weak hands.
It’s always a cycle.
And unfortunately, a boiling red market is a natural part of that cycle.
Sooner or later, we will be back.
Meanwhile, we’re here to try and give you some pro tips on how to survive a crypto bear market from a staking perspective.
Table Of Contents
1 Trade Into Coins You Can Stake
One of the biggest mistakes that crypto investors do is… Nothing. While we understanding wanting to hold Bitcoin without staking it, you should definitely consider trading into coins that you can stake.
It’s also important that you feel comfortable with holding those coins for the long term. Trading into a coin and staking it for a couple weeks before panic selling during a bear market (or any market for that matter) is just not a good move. Not to mention fees.
Trade into a solid coin that you can stake and hold until things pick up again.
Remember that the blue chip assets are those that get wrecked the least during a crypto bear market, so you probably want to think along the lines of safer bets (we won’t make any recommendations, but you know who we’re thinking), rather than moonshots.
Staking is your friend during all markets, but especially during the bear.
2 Collect All The Dust And Stake It
Crypto traders often forget and neglect their small holdings and leftovers. Make sure you check all your trading accounts on all platforms, gather all those 0.001’s and 0.033567’s and pool them together into a single asset on a single platform, and stake it.
Since we’re talking about a relatively small amount here (unless you strike gold with a forgotten wallet), you want to focus on staking on a platform with minimal fees.
Obviously this won’t be much to write home about, but it’s honest work.
3 Stake Your NFTs
It’s now possible to generate yield with NFT Staking. If you have any NFT assets, you should check out the best nft staking platforms and put them to work.
You should also check any play-to-earn games that you may have played in the past, and see if any of your NFTs on those platforms can now be staked. This is also an opportunity to engage in play-to-earn games in order to generate some tokens during the crypto bear market.
4 Dollar-Cost-Average To Achieve Your Staking Goals
If you ever tried calculating potential profits using a staking calculator, but got discouraged about not having enough money to achieve your monthly staking profit goals – now’s your moment! Dollar-Cost-Averaging is a strategy that always works well, but it works especially well during times like these.
The idea is to invest a fixed amount of money into the coin of your choice, every set period. Whether it’s weekly, bi-weekly, monthly or even quarterly. And you do it no matter what’s going on in the market.
Over time, you will have buy-ins that were higher, those that are lower, but on average, you will more likely to do better than investing a lump sum during a crypto bear market. Read More on Dollar-Cost-Averaging.
Hey, if you ever dreamed of being a validator on Rocket Pool or going 32 ETH solo with Ava.do – a crypto bear market is a great time to work on that goal.
5 Keep Calm And Carry On
A crypto bear market can be an emotional time. Some of us discover that we invested more than we should have, others just feel like they might have made a bad investment.
This may compel some people to start thinking creatively, but… Too creatively.
You don’t want to do anything crazy. And we’re not even talking about leverage trading.
There are risky moves even in staking and yield farming.
For example, while staking is a pretty smart bet, trading all your portfolio into an obscure new platform that promises 35% APY may not be the best idea. While some platforms may survive and you may in fact generate a 35% yield on your tokens, platforms can be compromised or shut down entirely. This is even more likely to happen in a bear market than when everything is peachy.
Keep the vast majority of your staked assets in proven, safe platforms (and keep your keys safe).
Evaluate your options, and don’t make any moves that will expose your portfolio to significant risk.
Final Thoughts How To Survive A Crypto Bear Market
As your mindset shifts from a place of constant winning and feelings of success, it’s quite easy to lose track of the fundamentals and why you decided to invest in crypto in the first place.
Your challenge would be to try and switch your focus from profits to asset accumulation.
You make most of your money in a bear market,
you just don’t realize it at the time.
If you’re able to keep that new mindset in-tact throughout the crypto bear market, you will emerge from your slumber with bags much heavier than those you went to sleep with.
This article is for educational purposes only. Not financial advice.
Please make sure to read our Disclaimer before making any financial decisions.