Averaging longs is dangerous, but shorting is fine, though it depends on the coin and its capitalization. If the cap is small, it's risky in both directions. If the cap is large, averaging shorts is possible.

Earlier, I shared my strategy of averaging down — when the price drops, you buy more coins, reducing the average cost.

For those already suffering significant losses, averaging down seems like a logical choice, as the thought arises immediately:
💭 'I'm just lowering the purchase price, it's better than jumping into new trades when everything is already falling...'