Can you protect your Bitcoin from market volatility?

[Macadonian]

Why would we need to protect from volatility if volatility is working in out favor long term?
Sure, if you are a regular everyday crypto trader you need to follow all the news, charts and be constantly under pressure for making some profit, and it is almosut guaranteed that you will lose money at some point.
What we need protection from is governments, broken monetary system and fiat currencies that are gradually losing value every day.
Bitcoin is best protection we have for that.

The long term is not guaranteed and if you are working on the assumption that Bitcoin will continue going up then you are going to lose a lot of money at some point. Everything has a limit to how much it is worth.

[1714473601]

1714473601

[1714473601]

1714473601

[1714473601]

1714473601

[sheenshane]

You forgot to include this, HODL, and aim profit target.

This is the smartest way to protect your Bitcoin during volatility and hold for a long period of time.  We know how volatility works and it's good for storing your Bitcoin for a long period of time. Just HODL and you will be fine.

And I tend to agree with the manage your money, invest that you can afford to hold, and wait for a long time so that you will never think of withdrawing from your portfolio.

[maxreish]

If we are talking about the security we cant definitely protect it from market's volatility. But, there is a way to lessen the risk, converting your coins into stable coins to at least being safe from unstable market. If there is a sudden massive drop, you can still be able to save up your coins by converting to USDT or TETHER.

[Darker45]

I once was a fan of using USDT to avoid too much volatility. There was a time when I preferred to trade BTC:USDT more than any other pairs. However, it was really hard to catch the perfect timing. I even ended up having more USDT than BTC in my exchange wallet. Converting BTC to USDT with the hope that you could buy back at a cheaper price could only get you stuck, but playing BTC with altcoins is even worse. The unpredictability of Bitcoin's price made me chose to HODL and avoid confronting volatility on a daily basis. 

[AniviaBtc]

You can prevent your money from liquidating when you're just storing it and not making transactions with it in the market.

A holder will always have his money only in his wallet and he will not lose and make any amount when he's just holding it for too long.

You can somehow protect your assets from scammers, hackers, and other risks, but not in volatility in the market.

[ipanks]

I prefer to hold my bitcoin from the market volatility and I do not enter the market. That will be better for me to avoid feeling afraid of the price. People can also not even think about how the price will move later because their reason to hold bitcoin is a long-term investment. If you can see what happens to the early adopter who has a lot of bitcoin in their wallet not selling their bitcoin at down, they will hold it until they see the price reach their target price. If you see the price is down, especially down deeper, that will be your chance to buy more bitcoin and use it as your investment. In the future, you will see your bitcoin value will increase sharply so you can sell it and get your money back.

[Tahsin Kabir Kollol]

You can convert your bitcoin to a stable coin may be a forward response to shield from instability and just exchange with some part of your cash to forestall enormous misfortune. Instability is the reason why individuals are exchanging with Bitcoin since they get an opportunity to make a decent amount of cash instead of other exchanging resources. On the other hand, you can increase the amount of your bitcoin by repurchasing by reviewing the positive market movement through market analysis.

[KennyR]

Being active on the market could help us protect our bitcoin from market volatility. Volatile feature of bitcoin can't be controlled by anyone at any form of speculation or manipulation. Everything happens based on the demand to the supply along with the positive and negative things taking place associated with bitcoin.

I haven't experimented it, but there is more chance of protecting your bitcoin through continuous involvement into cryptocurrency trading. Because if you're active in the market automatically you'll get to know when to sell and when to buy. Maybe at times things won't happen as we predict. Somehow the loss can be limited at some occasions.

[cheezcarls]

In my own opinion, I would convert it to USDT or any other stablecoin to manage my risks when Bitcoin is subject to volatility. As the market is very unpredictable, we may not know when will the price go up or down and it happens without warning. Risk management is still necessary because Bitcoin and other cryptocurrencies (except stablecoins) are simply subject to volatility.

[Sir Legend]

Why would we need to protect from volatility if volatility is working in out favor long term?
Sure, if you are a regular everyday crypto trader you need to follow all the news, charts and be constantly under pressure for making some profit, and it is almosut guaranteed that you will lose money at some point.
What we need protection from is governments, broken monetary system and fiat currencies that are gradually losing value every day.
Bitcoin is best protection we have for that.

The long term is not guaranteed and if you are working on the assumption that Bitcoin will continue going up then you are going to lose a lot of money at some point. Everything has a limit to how much it is worth.

The long term is only effective if we have strong finances, most people are not patient when they see bitcoin's rise so they immediately sell, after the price continues to rise then they buy again and panic when the price drops so that the end result is a loss.

[sapnu]

When it comes to protect your bitcoin from volatility, as to what has been mentioned, there are a lot of ways you could use to achieve it. Nevertheless, just by having the fact that bitcoin's value is volatile and will always be changing, we all know we have no choice left but to strategize upon making actions wherein we can reduce the harm that the volatility brings to our investment. At some point, we cannot really protect it from volatility hence we can keep on holding and regain our losses once the price returns to its stable price or even exceed which will give us benefits.

[DarkDays]

You forgot to include this, HODL, and aim profit target.

This is the smartest way to protect your Bitcoin during volatility and hold for a long period of time.  We know how volatility works and it's good for storing your Bitcoin for a long period of time. Just HODL and you will be fine.

HODL is the long-term strategy to get protection against volatility, though for more temporary strategy converting to stable which you can then earn a nice APY on is by far more attractive.

Which approach you take, of course, depends on your goals and if your risk appetite but unlike holding fiat in a bank which will erode away by inflation with crypto owners can take a much more active approach which is 10x better.

[Macadonian]

Why would we need to protect from volatility if volatility is working in out favor long term?
Sure, if you are a regular everyday crypto trader you need to follow all the news, charts and be constantly under pressure for making some profit, and it is almosut guaranteed that you will lose money at some point.
What we need protection from is governments, broken monetary system and fiat currencies that are gradually losing value every day.
Bitcoin is best protection we have for that.

The long term is not guaranteed and if you are working on the assumption that Bitcoin will continue going up then you are going to lose a lot of money at some point. Everything has a limit to how much it is worth.

The long term is only effective if we have strong finances, most people are not patient when they see bitcoin's rise so they immediately sell, after the price continues to rise then they buy again and panic when the price drops so that the end result is a loss.

This is called trading and can be more profitable in the future if you are good at trading at the right times but most people are not and end up losing a lot of money but if you can trade with profit then it makes more sense than holding Bitcoin it is just more risky.

[Kakmakr]

I once was a fan of using USDT to avoid too much volatility. There was a time when I preferred to trade BTC:USDT more than any other pairs. However, it was really hard to catch the perfect timing. I even ended up having more USDT than BTC in my exchange wallet. Converting BTC to USDT with the hope that you could buy back at a cheaper price could only get you stuck, but playing BTC with altcoins is even worse. The unpredictability of Bitcoin's price made me chose to HODL and avoid confronting volatility on a daily basis. 

Yea, I also tried that strategy .... by switching to USDT when all sighs show that there are going to be a big drop (recovery) in the Bitcoin price.. but that can be costly, if you cannot turn your USDT into BTC in time to catch the "Boom" (Sometimes this can happen in a few hours and if you are not quick enough, you miss it)

Exchanges also charge a lot of fees for the BTC:USDT and then again for the USDT:BTC switch ... so the price jump must cover those fees too, to make it profitable.    The best strategy will always be to HODL and to hope for the best, if your primary goal is profits. 

[Darker45]

I once was a fan of using USDT to avoid too much volatility. There was a time when I preferred to trade BTC:USDT more than any other pairs. However, it was really hard to catch the perfect timing. I even ended up having more USDT than BTC in my exchange wallet. Converting BTC to USDT with the hope that you could buy back at a cheaper price could only get you stuck, but playing BTC with altcoins is even worse. The unpredictability of Bitcoin's price made me chose to HODL and avoid confronting volatility on a daily basis. 

Yea, I also tried that strategy .... by switching to USDT when all sighs show that there are going to be a big drop (recovery) in the Bitcoin price.. but that can be costly, if you cannot turn your USDT into BTC in time to catch the "Boom" (Sometimes this can happen in a few hours and if you are not quick enough, you miss it)

The big problem is that we often read the signs wrong. In the middle of a price rally, for example, we begin to create BTC sell orders for USDT thinking that a correction would take place very soon. And when the price continued to fly, sell orders are created one after another, even draining our BTC down to the last Satoshi. Alas, the price didn't fall. Buy back never happened. We're stuck with USDT.

This actually happened to me around this time last year when, after being used to BTC's 4-digit price for quite a long time, it suddenly breached $10,000. I started to convert BTC to USDT, thinking of temporarily parking my funds there for the cheaper days. The price went on to $11,000, $13,000, $15,000, and so on. As we all know, a few more months later within that same year, the price went past way above $20,000, and on to $60,000 the following quarter.

[Xinarae*]

There are many ways you can protect your bitcoin from market volatility it is difficult to understand the exact situation as the market is not stable. It is possible to reduce losses by analyzing the market before investing investors who have a hard time with discipline will be able to use stop loss and take profit orders all major exchanges offer them. Unfortunately both good and bad things end at one point before you start your business depending on how much you want to lose or how much profit you are aiming for that's why it's important to invest in discipline.

[19Nov16]

I really gained more knowledge through this article and I will simply add that to protect yourself hold your coin and don't panic to sell at any period of time during any volatility period.

After we read more about the opinion on this forum, of course make us smarter. This also makes me optimistic to hold bitcoin even though I once bought around $650 bitcoin at a price of $ 52k, I do not panic even though the current price is only $ 37k.

[davis196]

I'm confused.Your thread title is about keeping your Bitcoins from price volatility,but your forum post is about cryptocurrency trading in general.I don't think that keeping your BTC from price volatility and cryptocurrency trading are exactly the same thing.Crypto trading is more about profiting from price volatility,rather than keeping your coins safe from unexpected price movements.
Selling your BTC for stablecoins or fiat is the only option to keep your BTC from volatiltiy.Diversifying your portfolio by buying lots of altcoins and tokens is not a good option,because their prices are volatile as well,and most of them follow the Bitcoin price trend anyway.

[ethereumhunter]

I really gained more knowledge through this article and I will simply add that to protect yourself hold your coin and don't panic to sell at any period of time during any volatility period.

After we read more about the opinion on this forum, of course make us smarter. This also makes me optimistic to hold bitcoin even though I once bought around $650 bitcoin at a price of $ 52k, I do not panic even though the current price is only $ 37k.

Both of you do the right thing to hold your bitcoin and not panic because the price is down. Every time the bitcoin price is down that will be your chance to buy more bitcoin and still hold with the other amount. The price will be back to $52k but we need to enjoy the market now because the price will increase later. There will be time for bitcoin to rise and it will come soon.

[rodskee]

Hi there,


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.

Practically wiser to have this , never invest in anything that you don't make deep research and studies because this will lead to losses and also becoming more stupid in all areas of investing.

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.

Try to seek help from expert friends in this matter , because money management is not that easy when talking about to invest specially in volatile market like crypto.

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.

in this i have no definite time because my busy schedule and lack of time .

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.

i already has years ago, though i usually changed the fillings from time to time aside from bitcoin.

Cheers,
Karl


Source: Bitcasino blog

Thanks for this @karl , you really brings great thread everytime you posted outside  gambling section .

Long live Bitcasino.io team .