What is a bear market?

Markets experiencing sustained and/or substantial declines are called bear markets. Each presents its own set of opportunities and pitfalls Whether you’re looking into cryptocurrency, stocks, real estate, or any other asset, you’ll often see markets described in one of two ways: as a bull market or a bear market.

What's happening to the crypto market?

The crypto market is experiencing double-digit percentage losses, with bitcoin ( BTC) dipping below $20,000 in June 2022, its lowest price since November 2020. General market sentiment beyond crypto is also bleak, and has many investors understandably worried. But that doesn't mean you should throw up your hands and run from the markets.

Can you predict the bottom of a bear market?

Just like it’s nearly impossible to accurately predict the bottom of a bear market, it’s also impossible to know exactly which of the 17,000+ cryptocurrencies will recover the fastest or go on to rally the highest. One way to hedge your bets is to use DCA for a range of different crypto assets.

How do crypto investors invest?

Another strategy many crypto investors employ is dollar-cost averaging, in which you’d invest a set amount of money (say $50) every week or month, whether the asset is rising or falling. This distributes your risk and allows you to invest through bull and bear markets alike.