Days like these can be depressing.
You're bound to the chart and watching the tiniest move. Every lower price makes you feel the entire market is about to crash. Conversely, every little price increase gives you hope of a quick recovery.
That can be super exhausting.
Here are a couple of thoughts, or best practices, I learned over the years. If they help some of you, then this post has met its goal.
1️⃣ Zoom Out
Price action like the one we have today always makes you feel something big is happening. However, if you zoom out, you will quickly recognize that it is nothing but ordinary. Take Bitcoin as an example. Since March, it is the fourth time that the middle band has acted as a reversal point. Do you remember any of those? I guess not. It will be the same with today's price action. You won't remember in a couple of days.
2️⃣ Be Prepared
If a drop (or a pump) shocks, it means you weren't prepared. For many days, it has been clear that the market (as always driven by BTC) will decide on a short-term direction soon. For example, I've often mentioned that this is not the time to trade because the chances are 50/50. As a result, we can now wait for confirmation, and if the drop continues, there will probably be some short trades.
3️⃣ Don't Chase Candles
Certainly, it looks like the market is diving deeper. However, chasing candles (red or green) and jumping on the rolling train has never been a good idea. Always wait for confirmation. It's always better to miss one or another train instead of getting rolled over by one.
4️⃣ Take Responsibility
Don't waste your time blaming others for the market. Whenever the prices dump, it's either "whales are manipulating the price," "Blackrock wants you to sell," "they want to shake you out," etc.
Honestly, this doesn't matter. Analyze the situation and decide who you can make the most out of it. You are in control.
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