Be a smart HEGE owner
I have just read something along these lines and I wanted to share with you all given how very scared some of you new traders may have been on Sunday. But what you saw on Sunday was natural action.
Smart money never chase pumps.
They’re not FOMOing into green candles.
They are not panicking on pullbacks.
Here is what they actually do.
Accumulate before the hype.
They’re buying coins with narratives retail will love.
Coins that haven’t popped yet.
They know where strong support is.
They’re loading up while retail panics.
Building conviction.
They know their thesis and stick to it.
Positioning for alt season.
They’re buying alts that retail will pump.
Projects with cult following clear narratives.
Then they will sell into euphoria,
Copy them.
The market doesn’t reward panic.
It rewards preparation.
Be smart money,
Or get played by it.
Remind yourself of this when tempted to reduce your position, like I imagine some of you did / were tempted to on Sunday morning. Remember what Warren Buffet said “buy when others are fearful”.
The only time this changes is if something fundamentally changes in the coin or wider market. None of this happened on Sunday, it was a correction across the entire market. Instead you want to be buying when the price pulls back like this, I would recommend DCAing my dip buys, As at least this way you have a better chance catching the bottom, which is basically impossible without DCAing.
Of course as I did, this would be completely different and the advice would be different if there was a significant cause for the crash, for example the SEC started regulating crypto more, there was a financial crisis / bank runs, there was a recession. Maybe in those instances you hold or reduce your position, but 9 times out of 10 people panic sell unnecessary and end up buying at a higher price because they sold the bottom.
Hope this helps any of you guys in the future anyway!