The Truth About “Buying the Dip” — What No One Tells You
Let me explain this like a teacher breaking down a tough math problem—because that’s what this really is.
We’ve all heard the advice:
👉 “Just DCA!”
👉 “Buy the dip—it’s basically free money!”
But here’s the hard truth they don’t tell you:
It’s not that simple when it comes to losses.
📉 The Harsh Math of Losses
Lose 10%? You need +11% to break even.
Lose 50%? You need +100% just to get back to where you started.
Lose 90%? You’ll need a +900% gain (10X) to break even.
So if your coin crashes 90%, it doesn’t just need to go up—it needs to 10X just for you to not lose money.
🧠 The Mental Trap
Once the coin starts going up again, you’ll hear people saying:
💎 “Don’t sell now, we’re just getting started!”
🚀 “It’s going parabolic!”
But ask yourself this:
👉 If you were up 900%, would you keep holding—or would you take profits?
Remember: Your break-even is someone else’s massive gain.
❗ The Truth Behind “80% Off from ATH”
People love to say:
“It’s down 80% from its all-time high—it’s a bargain!”
But they don’t ask:
Is the project still active?
Is the team still building?
Do people still care about it?
Many coins like $SAND or $POL didn’t just dip—they crashed. And recovery isn’t just about waiting. The project must still matter in the market.
✅ When “Buying the Dip” Works:
The project is strong and still in an uptrend
The dip holds key support levels
There's high volume buying near the bottom
❌ When It Doesn’t Work:
The project is dead or has no trading volume
It’s only “cheap” because it fell 90%
You’re buying just because you hope it can’t go lower
Before You Buy the Dip, Ask Yourself:
Is this a real dip—or is the coin dying?
Am I getting real value—or just falling for a trap?
If it drops another 50%, will I still believe in this?
Be smart. Stay sharp.