5 metrics to monitor before investing in crypto during a bear market
Everyone is a genius during a bull market, but how does one invest during lengthy downtrends? Here are five things to consider before buying into a crypto project. Cryptocurrency bear markets destroy portfolio value and they have a dangerous tendency to drag on for longer than anyone expects. Fortunately, one of the silver linings of market-wide pullbacks is that it gives investors time to re-focus and spend time researching projects that could thrive when the trend turns bullish again.Here’s five areas to focus on when deciding whether to invest in a crypto project during a bear market.Is....
Related News
The crypto bear market has had a significant impact on investing patterns across the space. Where the interest peaked in the bull market of 2021, the reverse was the case during the bear trend of 2022. In light of this, there has been an impact on the download numbers of crypto exchange apps across the […]
Though on-chain metrics point to the worst Bitcoin bear market on record, they also highlight hodlers' growing resilience. While the current bear market may be the worst on record, on-chain metrics signal that the Bitcoin (BTC) network is becoming increasingly resilient, said Glassnode analyst James Check during a recent interview with Cointelegraph. In particular, Check refers to the amount of Bitcoin holders who don’t sell even in extreme market conditions, which has become much higher than in previous bear markets. “Cycle after cycle, that floor of hodlers is higher, the amount of....
“No doubt about it, people are really scared, which is typically [...] an opportunity to buy,” Willy Woo said. Bitcoin analyst and co-founder of software firm Hypersheet Willy Woo believes that on-chain metrics show that BTC is not in a bear market despite observing “peak fear” levels. Speaking on the What Bitcoin Did podcast hosted by Peter McCormack on Jan. 30, Woo cited key metrics such as a strong number of long term holders (wallets holding for five months or longer) and growing rates of accumulation suggest that the market has not flipped the switch to bear territory:“Structurally....
As the bear market continues to linger, several market analysts have pointed out key metrics or factors that show that the Bitcoin bull market might not be far off. This time, Bloomberg analyst Jamie Coutts has identified key Bitcoin adoption metrics that provide bullish signals to the crypto community. What Are These Key Bitcoin Metrics? In a tweet shared on his X (formerly Twitter) platform, Coutts noted that “HODLers” and transactions on the Bitcoin network were at an all-time high. According to the update he shared, the number of addresses holding more than 1 BTC is at its highest over....
Bear markets represent the most dreaded period in any investment cycle, but there are a few ways to stay ahead and weather the storm. Usually, bear markets bring about a feeling of uncertainty in any investor. Even more so for a newcomer, for whom it can feel like the end of the world. It may even be common knowledge that during bull cycles, investors are sure of making gains. Whereas in bear markets such as this, an unimaginable amount of pessimism sets in.The co-founder and strategic lead at the Kylin Network, Dylan Dewdney, told Cointelegraph that the two major mistakes that investors....