Why Parts Buying Is The Best Strategy For Bear Market?
The bear market is really hard to digest and only a few people can survive in the bear season and many people lose hope and sell their holdings. Thankfully we are using Hive so we are making money even in the bear market but not everyone is lucky to have a Hive platform because most of them are unaware of Hive. Anyway in the hive we are already doing part buying in terms of curation reward and author reward. Slowly the hive power (HP) is stored in your wallet. This is similar to part buying strategy.
Old cryptocurrency users and experts always say that focus on diversifying your fund. There are multiple things in the diversification of your fund. For example, if you want to diversify your buying then simply you can do part buying, and this way you will get multiple prices to buy. Let's say you are earning $10 a day so you can spend daily $2.5 to $3 to invest in any crypto project. You can make this your daily routine and trust me one day you will have a good amount of crypto.
Chance To Grab Multiple Bottoms
People say buy the dip but buying a dip is an easy word but it is difficult to do it. No one knows the exact bottom. Let's say BTC goes down from 25k then you will think that this is the bottom price then bitcoin jumps to 27k and then go down to 23k so again bitcoin created new bottom. Now if you spent all your money at a 25k price then you will definitely regret it. But if you just bought 25% of Bitcoin at the 25k level then now you should have another 75% remaining money to invest.
So this way you can catch the multiple bottom prices because finding the exact bottom is an impossible thing. But this trick always works. We can't say that this is a trick but this is a money management formula with diversification.
No Need To Spend Money All At Once
This is another benefit you will get when you do part buying. Again I want to give you the example of Bitcoin. Let's say Bitcoin goes down from here to the 25k level and you think that this is a good buying opportunity and you take the loan of 1000 dollars and you spent all those dollars to buy the Bitcoin at the 25k level. Next week bitcoin create another bottom around 21k and it will keep dipping. This is what happens in the bear season. Don't worry this is just an example I am not predicting the bitcoin price.
So when you spend all your money at once, you will feel a shortage of funds and it will impact your financial system or home financial system. But if you are doing part buying then you don't need to worry. Also, there are lots of benefits of part buying especially in the bear market that we will talk about in future posts and it seems like the bear market is over now. Don't forget to share this post on different social media platforms, I will meet you tomorrow with another great post.
Thank you, everyone.
Lucky Ali
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Hi I am lucky ali from gujarat, india. I am a crypto enthusiast, blogger, and SEO developer. I am always interested to learn new things and getting new experiences. You can find me on hive, twitter and discord (Lucky Ali#6343). Sharing is caring, Thank you hive family ♥ |
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To support your work, I also upvoted your post!
Thy why is important to buy constantly in any market condition. If you wait for the exact moment, you cannot predict the result.
Exactly and that is why waiting for the best moment is not the solution.
This parts buying can be called a smart strategy because this way we may end up buying at better prices. Thanks for sharing this useful strategy in market
I am glad you liked it mukund brother.
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