Can you protect your Bitcoin from market volatility?

[Kittygalore]

Yes I can, with only a mindset that's in the market for the long-term I think that it's an enough protection for me when it comes to the volatility of the bitcoin market. Plus, diversification could be useful in that situation because when bitcoin is down, you will still have other means to make money since you're diversified.

[cheezcarls]

Absolutely! These tips does help a lot of newbies and beginners out there in the Bitcoin space. I usually converted my BTC to USDT if it’s about to fall (depends on the chart movement or how good am I in reading these analytics). I don’t hold any BTC for now, but at least these tips can be applied to other long term cryptocurrencies that I am holding today.

[qwertyup23]

Exchange to stable coin might be a forward answer to protect from volatility and only trade with some portion of your money to prevent from huge loss. Volatility is the purpose why people are trading with Bitcoin, since they have a chance to made good sum money rather than other trading asset. Made 1% profit each day is already good, don't be too greedy or you could loss.

This is actually a good advice.

Exchanging your BTCs to a stable alternate cryptocurrency may be the key but this would involve some risk associated with its price. Though the only trade back to this exchange is the limited amount of profit one would accumulate on the process.

Still, I do think that HODLing will be the way to go for long-term investments. If a person wants to focus on short-term gains, then there would be some risks also associated due to its price volatility. That is why, the key is always research and knowledge on the market.

[Davidvictorson]

Exchange to stable coin might be a forward answer to protect from volatility and only trade with some portion of your money to prevent from huge loss. Volatility is the purpose why people are trading with Bitcoin, since they have a chance to made good sum money rather than other trading asset. Made 1% profit each day is already good, don't be too greedy or you could loss.

These are very fantastic points. They point to the fact that one must take personal responsibility to minimize risks and maximize profits even though 100% protection from market volatility is not possible. For newbies, if you have a low risk tolerance DCA is a good strategy to consider too.

[Lanatsa]

Exchange to stable coin might be a forward answer to protect from volatility and only trade with some portion of your money to prevent from huge loss. Volatility is the purpose why people are trading with Bitcoin, since they have a chance to made good sum money rather than other trading asset. Made 1% profit each day is already good, don't be too greedy or you could loss.

These are very fantastic points. They point to the fact that one must take personal responsibility to minimize risks and maximize profits even though 100% protection from market volatility is not possible. For newbies, if you have a low risk tolerance DCA is a good strategy to consider too.

DCA is something that wont be easily to be done by someone who had just recently just into this market but not that impossible to learnt of.

For noobs then whats DCA?

Dollar-cost averaging (DCA) is a strategy where an investor invests a total sum of money in small increments over time instead of all at once. The goal is to take advantage of market downturns without risking too much capital at any given time.

Source: https://www.gemini.com/cryptopedia/dollar-cost-average-crypto-invest

[blckhawk]

there are many ways to protect yourself from market volatility in bitcoin, the most effective one is to do countless research about cryptocurrency. next is you must have the basic knowledge on how the stock market works because the market for bitcoin is like the stock market, by observing the market you can predict on when will the price will be up or down. and lastly is to be more open minded when it comes to trading, because in trading your chances of losses is much more bigger than your chances of gain.

[Kong Hey Pakboy]

I have a really good portfolio already so I guess I am pretty much protected from the volatility of the market and I have some money to help me accumulate more in the case when the market isn't doing good.

[Luke Briggs]

It is normal for Bitcoin to fluctuate. You can keep holding for a long time, and you can choose to buy Bitcoin when the price drops. Long-term holding requires patience.

[Sanugarid]

Hi there,

Cryptocurrency has a volatile market, and there are moments when investors can expect high turnover rates and growth while others aren’t as lucky. In times like this, it’s important to be educated by learning about the ins and outs of managing your cryptocurrencies to avoid drastic changes in the market.

Frequent crypto traders know that investing their digital assets in the market comes with pros and cons. Risks cannot be avoided in any form of investment, so the best thing you can do is devise strategies on how you can protect your digital assets from the volatility of the Bitcoin market.

However, most people wonder if it’s even possible to protect your Bitcoin or other assets from crypto market volatility. You may not be able to avoid it entirely but you can take several measures to lessen its impact on your hard-earned investments.

Tips to protect your Bitcoin from market volatility

Seasoned traders are able to distinguish good investment options from bad ones. However, this ability comes from experience and research. To make the most of your investment, here are some steps you can make to protect your Bitcoin from market volatility:

Personal research and education

Before starting, do your own research and educate yourself on the process of how to invest in crypto. This is especially important for first-time investors and beginners in the world of digital assets. Get an idea of how the market works first and familiarise yourself. The more you know about the market, the more you can make informed decisions on what will benefit your investments.

Read articles online, watch informative videos on YouTube or enlist the help of your friends and family who also invest in crypto. Knowledge is power in this volatile market, and to become adept in both crypto trading and investing, you will need the dedication to find the right information to make the right decisions.

Manage your money

Now that you have an idea of how the crypto market works, you will have to learn how to manage your funds well. Be sure to keep track of your money and have a record of everything you do such as transactions and losses and profits while trading. Managing your money and keeping track of it is an excellent way to protect it from market volatility.

To help you out, you can get tracking apps or platforms to provide assistance. Some of these apps include Blockfolio, Altpocket and CoinTracking. Utilise these tools to manage your investments and get an edge on the market.

Watch the market trends closely

This tip goes hand in hand with managing your money. While keeping track of your funds, be sure to monitor the market trends as well and understand how they move. Check to see if certain patterns affect the market trends and how they relate to the strategies you’re using for your investments.
When your digital assets ascend, descend or stay in a linear position, traders need to be on high alert for what happens next. Some people set reminders to check their funds at least every other day or once a week at most. You can also read about the crypto market and familiarise yourself with the trends, no matter how new or old they are.

Build a good portfolio

An investment portfolio is a collection of data that holds all of your investments and transactions online. You can think of it as putting all data of your cryptocurrencies in one space. If you ever want to look back on some of your previous trades, you can do so in an organised manner by having a good portfolio.
The benefits of having a portfolio go beyond something as simple as collation. You can use it on your own or enlist the help of professionals like fund managers and financial experts. A portfolio will show the pattern of your trading habits and help the experts make an informed decision to improve your trading experience.

Cautious yet streetwise trading

As previously mentioned, the volatility of the crypto market cannot be predicted accurately. You can rely on certain articles or the advice of experts, but you need to have your own trading style as well. To succeed in the crypto market, you have to know when to invest carefully and when to take risks. Always think twice before making a decision.

Think practical and your investments should follow afterwards. You can implement smart trading by learning the ins and outs of the market, doing your personal research and making decisions based on logical reasons instead of just hopping on the bandwagon.

Be open-minded while trading

When investing or trading, don’t be afraid to take certain risks. Try to be open-minded and seek out new trends and strategies that other traders are trying. For example, more people nowadays are looking to try day trading, which is buying and selling digital assets within 24 hours to make a quick profit. There are also other strategies like swing trading and scalping.

Although it seems like the best and safest decision is to stick with your routine, it won’t work forever. If the Bitcoin market is volatile, you should be able to adapt and change with the market to avoid falling victim to volatility and losing your funds.

Thanks for reading and you’re welcome to share your thoughts and tips.

Cheers,
Karl


Source: Bitcasino blog

I think protecting your BTC from market volatility is not possible unless you sell it and buy some stable coins like USDT in order to preserve its value before the market crashes then buy back again when the market price dips to increase the number of BTC you were planning to hold. However, if you're into long-term type of investment then fluctuations in price don't really matter as long as you're holding.

[Finestream]

It is normal for Bitcoin to fluctuate. You can keep holding for a long time, and you can choose to buy Bitcoin when the price drops. Long-term holding requires patience.

If you are a long term holder of bitcoin, its market volatility won't create a hard impact on your coin because even if the price suddenly drops down, bitcoin will always recover. Bitcoin is not free from market volatility but holding it for long might prevent it from losing your investment's profits.

Market volatility will always be present so there's no way we can protect our coins from price fluctuations but if you have taken safety measures to prevent them losing, then we will always witness a good price surge of bitcoin continuously.

[zanezane]

I have a really good portfolio already so I guess I am pretty much protected from the volatility of the market and I have some money to help me accumulate more in the case when the market isn't doing good.

Good for you that you already have a beefy portfolio, I am on the way to making mine like yours but I am sure it's probably much bigger and I might take a long time before becoming like yours but even though it's that way, I don't worry too much as long as I have a long-term mindset, I won't have any problem with the volatility.

[excro]

I don't think it's something possible, except if you sell your BTC every now and then.

[Kasabus]

I don't think it's something possible, except if you sell your BTC every now and then.

The high volatility of the market has been here since the beginning of bitcoin and as long as bitcoin will exist, it will never be protected from any price fluctuation, the price might go down all of a sudden then goes up again. But if you sell your btc every now and then, you will never feel the impact of market volatility.

But i know most of the people in this community prefer long term holding than short term because the profits is absolutely high. So if you hold bitcoin for long term, it will never have an excuse from having price fluctuations  because at the end of the day, you will only sell it if it reaches your target selling price. 

[sweet bb]

DFBTC aims to solve the huge volatility risk of BTC and the lack of liquidity of cross-chain high-quality assets. Through the issuance of standard ERC 20 standard digital assets, through the addition of anti-risk models and yield methods, it can resist risks and cross-chain high-quality BTC assets. The chain is transferred to Ethereum. DFBTC adopts 1:10000 ratio pledge casting, through DFBTC to increase BTC cross-chain applications, making high-quality encrypted assets more efficient.
DFBTC Dapp has been put into operation,
app.dfbtc.org

[bitbunnny]

Exchange to stable coin might be a forward answer to protect from volatility and only trade with some portion of your money to prevent from huge loss. Volatility is the purpose why people are trading with Bitcoin, since they have a chance to made good sum money rather than other trading asset. Made 1% profit each day is already good, don't be too greedy or you could loss.

This is actually a good advice.

Exchanging your BTCs to a stable alternate cryptocurrency may be the key but this would involve some risk associated with its price. Though the only trade back to this exchange is the limited amount of profit one would accumulate on the process.

Still, I do think that HODLing will be the way to go for long-term investments. If a person wants to focus on short-term gains, then there would be some risks also associated due to its price volatility. That is why, the key is always research and knowledge on the market.

I don't think there is actually a receipe how to protect the Bitcoin from volatility. The only thing you can do is to protect yourself from the possible losses caused by this volatility.
One of the possibility could be diversified investments but if you want to make the profit you need to take certain risk.
To my opinion to keep the eye on the market constantly, watching for the trends snd getting knowledge and information about the Bitcoin functioning is one possible way.

[bitterguy28]

I have a really good portfolio already so I guess I am pretty much protected from the volatility of the market and I have some money to help me accumulate more in the case when the market isn't doing good.

That is the best strategy to Put Fiat on Hold ready for any moment buying a good coin for another investments, sometimes it is harder for  us holder to replace coins that we already supported to another one that attracts our desire.
so best to Have a strong Folio and also have a extra funds for  emergency investing.

[rizqoAD]

The Bitcoin or cryptocurrency trading market is indeed very volatile, so good financial management is needed to avoid losses due to market volatility. Trading Bitcoin is indeed risky if we are not able to manage it, therefore maintaining profit from each trade must be done properly by traders. Experience will allow traders to protect Bitcoin from volatile market volatility and use it as an advantage for traders, i.e. buying when the Bitcoin price is down and selling when the Bitcoin price is going up.

[Taskford]

I have a really good portfolio already so I guess I am pretty much protected from the volatility of the market and I have some money to help me accumulate more in the case when the market isn't doing good.

That is the best strategy to Put Fiat on Hold ready for any moment buying a good coin for another investments, sometimes it is harder for  us holder to replace coins that we already supported to another one that attracts our desire.
so best to Have a strong Folio and also have a extra funds for  emergency investing.

Its hard decision to drop it off but if the market is crashing then you don't have a choice to exchange it with stable coin so that you will be protected on the current situation on the market and buy again when the price goes drop. This is more ideal rather than bag holding your bitcoins then wait for something to happen, this will cause us huge stress since we will be on questionable state at that time.

[Peanutswar]

This is the reason why we love the bitcoin or the crypto market itself because of the market volatility if you are looking with the bitcoin as a stable coin you can make it too like you have Bitcoin as the bitcoin itself, not the value itself. If you don't want to ride with the market volatile you can invest with a stable coin. This is the reason why it's an ideal thing to know with the market trades, technical analysis and indicators so you can keep your asset safe on the market crash movement.

[Finestream]

I have a really good portfolio already so I guess I am pretty much protected from the volatility of the market and I have some money to help me accumulate more in the case when the market isn't doing good.

Good for you that you already have a beefy portfolio, I am on the way to making mine like yours but I am sure it's probably much bigger and I might take a long time before becoming like yours but even though it's that way, I don't worry too much as long as I have a long-term mindset, I won't have any problem with the volatility.

On the way is much greater rahter than those who are not starting at all, I mean yes it can be a rocky bumpy ride along the way but as long as your confident in your goal then you'll know when you see brightness and calm the end of the road. So don't get discouraged if you're just starting to make your portfolio big and see other much ahead at you, this isn't a race because the goal is to make profit and have long-term plan to protect ourselves against the market's volatility, surely we can't avoid it that's why it is indeed important to know what your plan.