What would a Bear do in a "Bear Market"?
What would a Bear do in a "Bear Market"?
Well with more FUD (Fear Uncertainty and Doubt) coming out of China today, it seems like the crypto "whales" (big holders & traders) have decided to shake some profits out of the new entrants (again).
No need to be fearful, but there is a need to be prepared.
Small holders are only susceptible to these times if they sell at a loss, or if they leave their crypto on an exchange which succumbs to the bear market and closes down.
So what would a bear do in a bear market? Why he'd hibernate of course!
I've been in this market long enough to have hibernated a few times, each time when I emerged from hibernation it was a new spring time in the crypto world and everyone was full of confidence again.
So how exactly do I "hibernate" in a market like this?
Easy, I move all my crypto into a private wallet (one where I control both my public and private keys). This way I don't have to sell anything, but I remove my vulnerability to exchanges being taken down by either legislation or poor management.
The private, secure and anonymous wallet I use is My Ether Wallet My Ether Wallet
It's pretty easy to use but if you've not used a wallet like this before I'd suggest watching a few YouTube videos on how to use it before getting started.
My biggest tips are;
- Save your Public Address & Private Key in a note or word file preferably in at least two places.
- print out several copies of your public and private keys and keep them in a few different places
- Never give anyone your private keys, ever, for any reason. Period
- Congratulate yourself for being prepared when you read in the news that an exchange you were using has gone under...
These are precautions I'm taking and by no means does that mean I know there are going to be issues with exchanges. I do this out of precaution only, and as I am not actively trading my coins / tokens, I don't need to keep them on an exchange anyway.
There's a saying in the precious metal investment space, "If you can't hold it, you don't own it". We in the crypto-sphere have taken this on board and apply it to our private keys.
As the exchanges hold your private keys for you, in times of uncertainty (even i the short term), it's wise to control your own private keys.
By setting up a My Ether Wallet, that's exactly what you're doing.
There is a risk though. With full control comes full responsibility. If you lose your private key, your investment is gone forever.
If you like this kind of information, please feel free to follow me on Steem It and look for our closed group Bit School on facebook. Ask to join and I'll approve you :-)
