What Should Long-Term Investors Do If The Price Of Bitcoin Drops?

[Jubilee58]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

Bitcoin is known for its volatility, volatility could result to Bitcoin bullish trend or bearish trend, but when the price of Bitcoin is going down, there is no need to panic because panicking will make you take the wrong decision without thinking properly. If the price of your Bitcoin go down, the right thing to do is to buy more of the Bitcoin added to the one you already bought, otherwise remain calm and patient with your investment or portfolio. When Bitcoin price goes down, it doesn't stay down continually, there will still be price reversal after some period of time. To those who understand the nature of Bitcoin, and how the Bitcoin market works, price drop is an opportunity to make good profit from the Bitcoin market because it must definitely go up with time.

To be able to manage your portfolio well when the Bitcoin market dips, stop visiting your wallet regularly to avoid keeping your mind up, don't also be so interested listening to market news because you will also hear words of discouragement, but patience, and calmness will reward you greatly after this very time.

[retreat]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

The more they panic, the more likely they are to turn their paper losses into real losses. Because if they don't sell, they won't lose anything. But that's just how it is, not everyone has the confidence to handle the current situation. If in the end they decide to sell, then that's totally their decision.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

The recent negative news has more or less affected the market, but the market will definitely recover. Just look at the current Bitcoin price showing signs of moving back toward $80K. This proves that there is no point in panicking and then selling on the grounds that you don't want to lose everything. It's just a decision driven by fear rather than rational thinking, and it can often lead to losses that should not have happened.

For long-term investors, they need to commit to holding regardless of market conditions, rather than making decisions based only on market noise.

[nara1892]

When an investor has planned to accumulate assets over the long term, haven’t they already factored in market fluctuations? Clearly, they understand how Bitcoin works and its cycles, and they also understand that a loss only truly occurs when they sell all their assets.
Personally, to be honest, I’m actually a little happy when prices drop because, indirectly, that gives me the opportunity to buy more while prices are low.

[Pandorak]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

Adjust your mindset.

Be clear from the start about your purpose for buying Bitcoin, is it purely as an investment or are you simply holding it to make a quick profit (trading). Those who are panicking over this decline are most likely people who are afraid of incurring losses or losing money, the reason may be that the money they’re using is meant for necessities, and they decided to use it first to buy Bitcoin, hoping the price would rise in just a short time. So, be careful with the funds you plan to use for investing.

When it comes to investing, you must focus on the long term and that doesn’t mean a few weeks or months, it might take years before you can start taking profits. Investors won’t overreact to a decline like this, instead, they’ll use this momentum to maximize their purchases.

[Miles2006]

Not selling when the price is low should be known by all holders, I mean this is common sense. Traders also lose when the market is not favorable, I always wonder why people choose to sell at a loss when clearly the market is experiencing a dip, obviously they’ll end up losing everything. Fear of the unknown is the reason, newbies might likely make mistakes as such but, I don’t expect a holder who’s familiar with the market price to sell their bitcoin at a low price rate. Bitcoin price is volatile which makes the whole long term investment plan understandable, holding for the long run is actually the perfect strategy use in order to avoid losses.

[Slow death]

Anyone who enters the cryptocurrency market learns a lesson a few months later a lesson that is hard to forget: this is a market that demands great patience. If you want to make a profit, you must know how to buy and then hold refraining from selling for months or even years. Regardless of how much the price drops after your purchase, you need to be mentally very strong to eventually turn a profit.

Those who fail to learn this lesson within a few months of entering the market are simply too stubborn; they will end up leaving the market early, having incurred losses. A recent example: prices had risen significantly some months ago, only to fall sharply afterward. Everyone who sold below $70,000 fearing the price might drop all the way to $10,000 ended up with heavy losses. Conversely, those who held on may now be in profit, or at least have reduced their losses, even if they had bought in at $90,000.

[Z_MBFM]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

Long term means that there is no need to think about whether the price of Bitcoin has increased or decreased. When a long-term investor makes a long-term investment, he must know that the price of Bitcoin hits a new target in every circle. And it will take 4 years to complete that circle. Now if you plan a long-term investment and panic after a month when you see the price of Bitcoin decreasing, then you will not be able to hold your Bitcoin. When the price of Bitcoin decreases, you should understand that this is a normal process. And at that time, instead of selling Bitcoin, you should buy and hold as much Bitcoin as possible. In this, if you have Bitcoin at a higher price than before, their average price will automatically decrease, due to which your risk also decreases. So, when you see the price decreasing, instead of panicking and selling Bitcoin, you should buy and hold some more Bitcoins at that opportunity.

[ZeroVinsonN]

When an investor has planned to accumulate assets over the long term, haven’t they already factored in market fluctuations? Clearly, they understand how Bitcoin works and its cycles, and they also understand that a loss only truly occurs when they sell all their assets.
Personally, to be honest, I’m actually a little happy when prices drop because, indirectly, that gives me the opportunity to buy more while prices are low.

It's as simple as that, only a fake will panic once the price of bitcoin moves in the negative direction, but for someone who actually wants to accumulate and hold for long a drop in the price will simply present an opportunity for them to buy more bitcoin for a lower price and that isn't something to panic over.
For a non investor though the case will be very different but since OP was clearly talking about long term investors (it at least seems like it) they understand that price fluctuations were a part of the deal from the very beginning, getting discouraged due to the price dropping makes it look like they didn't know what they were getting themselves into in the first place.

[Botnake]

Selling your bitcoin in panic will lost your essence of being a long-term investor. But instead, just stay calm and patient and ignore the current price drop, that's perfectly normal because bitcoin is a highly volatile asset. And just continue accumulating bitcoin while the price is in bargain, that way you can maximize your purchase with bitcoin at a lower price.

Selling is never the best option, you will only lose and regret in the future especially if you end up selling at a lower price compared when you first bought it.

[Maslate]

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

Sell when the price is high, but buy and hold when the price is low. This is the only rule I've been following in bitcoin, except in times I badly needed funds so I have to sell my bitcoin even at a loss. But most of the time, since bitcoin has always its price fluctuations, it does not bother me at all, but continue to hold tight even if others are panic selling.

However, its normal for newbies to resort into panic selling, if that's the only way they will learn the hard way, then at least they should experience it too and learn from the outcome.

[Lembo69]

No matter how much the market price of Bitcoin drops, an investor should never sell his investment. He should hold it. And the fact that the price of Bitcoin drops should be seen as an opportunity to buy more. If you are a true long-term investor, then you should not panic and see the falling market as an opportunity to buy more. No one knows when the market price of Bitcoin will drop and no one knows when it will rise. The Bitcoin market is completely unpredictable, so if the price drops, you should see it as an opportunity to buy more.

An investor always wants to make a profit, but I think he should think more about collecting more BTC than making a profit. Because no matter what the market price is, you just have to keep buying and invest for the long term.

[Sonia_123]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

As a long-term investor all you have to be doing is to keep holding your bitcoin as long as possible no matter how much the price drops,.
As an investor, you already know what it takes to be a long-term holder, except you are not investing with your discretionary income or you borrowed the money you invest with hoping for the bullish season anytime soon to repay your loan..

You don't need to panic and sell because Bitcoin price is not in your favor, Bitcoin is volatile and not a stable coin therefore you don't expect it's price to keep on rising without a fall or re-correction stage for this has being happening. '

[Bright0515]

First of all, what are your investment goals, this is question that has a simple answer, when Bitcoin drops as an investor you should take advantage of the opportunity and the way to do that is buying the dip. It is important to understand risk management and psychological discipline to be able to be patient enough to keep your investment running even when the market is going through a dip.

[Gentle_Soul]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

I have a few stacked up Bitcoin I get simply get worried when I see the price of Bitcoin fall but I just simply choose not to panic I only simply keep holding I just can't go with the option of selling because even if I do sell at the time the price is down I still won't make a profit so why don't I hold and keep holding much longer, I am always disturbed when the price goes  down and especially when it stays down but then I do not allow that feeling control my decision regarding weather to hold or sell I simply would rather buy especially with funds I can actually hold up for a longer period of time.

[JiiBs]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

If they are acting term investors like you call them, it’s obvious they must have experienced and endured several market conditions like you wish to speculate on. There isn’t much to advice them on in this case, it’s already a lived process and it’s more about them just having to repeat, do it again, stay patient and have the market pump and dump while they hold on.

Long term investors aren’t those that gets scared and sell because of a volatile market condition, worst still, they never get thoughts of all their Bitcoins being liquidated, they know better and so, all these is over speculated.

[serjent05]

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

I recommend holding until the halving and seeing how the market performs.  If we look at the Bitcoin price chart, it is normal at this point for Bitcoin price to move sideways or get lower in price.  A bull market has yet to happen, and the market is still in a bear market, so it is normal to see price drops.

It will be a huge loss for the long-term investor to sell now.  So it is better for them to exercise patience and continue to hold their BTC. This thing you call an "unstable state" is just a normal market movement.  Bitcoin price has dived lower in terms of percentage loss in previous years and yet is able to recover and even record a new all-time high.  Those who are actually long-term holders just laugh at the current price fluctuation you are mentioning, @OP.

[danadc]

Long-term investors should do something very simple: keep investing in their BTC, keep buying. If the price drops, don't panic. It's normal to feel desperate when you see the price start to fall from the level you're used to seeing, but that's how things work with BTC.

I'm not a heavy investor with large sums of money, but if I see that I have, say, $500 invested and it drops to $400 or less, I do get a bit scared, but I have to bear it. Withdrawing that investment is worse because that would mean losing money.

[uneng]

Long-term investors should do something very simple: keep investing in their BTC, keep buying. If the price drops, don't panic. It's normal to feel desperate when you see the price start to fall from the level you're used to seeing, but that's how things work with BTC.

If Bitcoin crashes, just wait for the next bullish cycle. The worst scenario is in case the person is investing during the ATH, what means he will have to wait for longer until he can finally profit from his investment, what may take 3 or 4 years holding the coins... Therefore, the investor has to be prepared for that possible scenario, otherwise he will sell before the right time and face losses.

[Brizi5000]

Due to the fluctuation of Bitcoin price most investors who are holding their Bitcoin are scared of losing their entire Bitcoin because of the frequent changes of Bitcoin price recently, some investors are panic of selling all their Bitcoin because they don't want to lose everything.

So what are your advice to those long-term investors?
Should they sell their Bitcoin or they should keep holding to it despite the unstable state of Bitcoin price recently?

This isn’t the first time Bitcoin price is being unstable, Bitcoin is highly volatile and every long term investor needs to understand that and if they sell not that the price is going down it simply means they will be selling at a loss and I’m sure they don’t want that happening. So, the best thing for them to do in this scenario is just HODL their bitcoin and relax with time the price will increase because bitcoin doesn’t only move in one direction of price decline, it also have potential of increasing in price to reach some levels of all time highs.

[darkvector-dev]

In my view, if you're investing with a 10-15 years horizon, drops shouldn't matter at all: this is money you shouldn't need before that horizon. I treat it like a "retirement fund".

And there is another (sad) thing: in my country, traditional pensions are an investment at risk (but we just don't call it that). People contributing today have no guarantee about what they'll get back, how much, or when. At least with bitcoin, the asset is yours and you can verify it whenever you want.

That's my point of view of long term: not looking at the price, but knowing exactly what you own and why.