Selling currencies out of fear
Do not stop loss at the right time after the decline has passed 50% or more than 50%.
You will definitely lose the total amount of coins you purchased.
Yes buy on the dip
Example:
1. I bought a coin at $0.00002500.
2. Total coins became 10,000,000 coins.
3. The total investment value is $250.
4. The currency value suddenly dropped to $0.00001250.
5. Your loss is $125, or 50%.
(Instead of selling the currency at $0.00001250, or setting a late stop loss)
Buy on the downside
Next step:
1. Conduct a detailed analysis on long and short term periods and then expect a maximum decline, for example after the analysis we expected $0.00001200 or $0.00001000.
2. Buy at the lowest point, for example, buy an additional $100 at $0.00001000.
Total coins will be:
10,000,000 previous + 10,000,000 last = 20,000,000 coins
The total investment value becomes:
$250 + $100 = $350
Result:
If the value of the currency rises to $0.00002000, and you sell, the total investment value will rise to $400.
Your loss will reduce in a short time, while the total coins are still large.
Finally, I hope I have explained the idea to you, and until you reach this step
1. Do not buy with your entire capital: Keep a portion of your capital in reserve to avoid big losses, and conclude it with your strategy.
2. Do not buy currencies without analysis: Always analyze the currency or stock before buying, and study the market and trends.
3. Do not buy fake currencies: Make sure that the currency you are buying is legitimate and reliable.
4. Don't listen without researching: Don't buy a currency or stock based on someone else's advice alone.
Rather, do your own research and analysis before making a decision.
