📘 Famous quote: "Buy when there's blood in the streets..."
Baron Rothschild used to say:
> “Buy when there’s blood in the streets, even if the blood is your own” .
It’s the maxim of the contrarian investor, taking advantage of opportunities precisely in times of widespread fear.
🦁 Warren Buffett: “You have to be greedy when others are fearful”
Buffett summarizes it this way:
> *“Be fearful when others are greedy, and greedy when others are fearful.”*
In other words… when the market is all red, sometimes it’s a signal to enter, not to run away.
📉 In crypto it feels the same:
A user on Reddit said during the drop:
> *“When the market is down and your portfolio is red, just buy the dip and pretend you're not dead”* .
It’s the fun version, but it reflects something real: sometimes buying on the dip can be very profitable if the project is solid.
🤔 Is it a law or a rule?
It is not a universal truth nor for every moment.
Bill Gross (PIMCO) warns that it’s not always advisable to buy the dip.
Luke Ellis (Man Group) says that *“buying dips is not always safe”, and what matters is what you buy, not just when .*
🔎 What happens now with this drop?
When the market falls due to geopolitical events or strong news, you often see these “red sausages”. But if the underlying economy remains intact, and the project is sound, that spike of fear can turn into opportunity.
✅ In summary:
Buying when the price is falling can be a great strategy (buy the dip), but not for impulse buying.
The important thing is to analyze why it is falling and if the asset has fundamentals in the medium to long term.
If the method repeats:
1. You identify a drop that does not alter the fundamentals.
2. You enter with part of the capital.
3. You evaluate if it goes back up and decide whether to exit or hold.
