Short-term rallies do not spell the end of the bear market. Crypto winter and a weak stock market will pose problems for investors in 2022. After all, it is the asset class with the historically best returns, especially in the case of equities. The bear market continues, most assets consolidate towards the weekend and tend to be slightly lighter. What do investors have to watch out for in the next few weeks in order not to fall into the traps that are certainly there? Two crypto presales with potential and 5 tips for investing in the bear market.
Crypto Tips: Two Presales With Tenbagger Potential In The Bear Market
Before we dive into some basic advice for investing in a bear market in 2022, which will no doubt be weighed down by high inflation, recession fears and rising interest rates, let’s review two crypto presales. Because these coins could enable broader portfolio diversification, which also does not ignore the aspect of returns.
Dash 2 Trade: This coin benefits from the bankruptcy of FTX
Dash 2 Trade is a new crypto project centered around the native D2T token and intuitive dashboard. After the bankruptcy of FTX, investors in the crypto market could be looking for tools that enable better analysis and thus more (supposed) security. Dash 2 Trade is targeting this investor sentiment and has already raised $6.5 million in presale with this concept ? bullish!
Go to the Dash 2 Trade Presale
RobotEra: New Metaverse game a la Sandbox: Support by Major Exchange
Of the RobotEra Presale started recently, so early investors can still get the native TARO token at the best possible price. The conception of the metaverse is strongly based on The Sandbox (SAND) ? after all, it is a top 50 coin. With the support of LBank Labs, they want to position the RobotEra Metaverse in a promising way.
1. Recovery on shaky foundations: slowdown driven by inflation
Anyone who is thinking about investing in 2022 in November should keep an eye on the macroeconomic situation, which has had a massive impact on the markets in recent months. Because an initial slowdown in inflation led to a stock rally. But whether this is sustainable will only become apparent in the next few weeks. The recovery moves on a shaky foundation. Because macroeconomic risks remain. It remains questionable whether the Fed will actually raise interest rates significantly less once inflation has eased off slightly. It is therefore advisable for the investment in 2022 not to put everything on one card and to forget all stress factors. Because the risks are still significant that we will slide into a serious recession in 2022 and only then will inflation really have an impact on the purchasing power of consumers.
2. Buy-the-dip isn’t always a good strategy
Buy-the-dip represents a cheaper entry into certain assets when they have just fallen due to traditional swings. But buy-the-dip also carries risks. Because prices don’t always recover. The current crisis is separating the wheat from the chaff, both in the stock market and in cryptocurrencies, so not every company and not every coin may survive the bear market. A well-founded analysis is more important than ever to find qualitative investments? in cryptos possibly with the new ?Bloomberg terminal for the digital currency market? Dash 2 Trade.
3. Diversification as the means of choice
Traditionally, diversification prevents risks that result from negative price developments. Things don’t always go as planned. Amazon shares are currently no longer performing the market for the first time, but are developing weaker than the leading index. Cryptos like the formerly popular FTT token are on the brink of total loss. In addition to a well-founded analysis, such risks can be limited as best as possible if diversification is comprehensively taken into account when investing in 2022.
4. Not investing is not a solution either!
Inflation in this country is around 10%. The value of money keeps going down. Consequently, there seems to be no way to park the money in the savings account, although the first banks are advertising a positive interest rate. But at interest rates of 1%, for example, the real depreciation is still significant. Investing, collecting cheap quality assets and waiting for the next bull market seems to be the better choice.
5. Rebalancing and buying more: Align your own portfolio in a future-oriented manner in the bear market!
Again and again there is a bear market rally and temporary recovery. Before the FTX crash, it gripped the digital currency market. Equities rebounded sharply after the US inflation data. Such countermovements are not uncommon in the protracted bear market. Individual stocks often outperform. For example, the Zalando share has doubled in a very short time. Also, and especially in bad stock market phases, one should pay attention to diversification, so that with a growing proportion of the overall portfolio, profits can be reallocated countercyclically into assets with favorable valuations. This reduces the risk and modifies your own portfolio in a future-oriented manner.
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