No one can time the market. As the old saying goes “The Market is King” and indeed many times, the Market has taken out the largest hedge funds and millions of retail traders. In the last two months, many crypto traders have gone into hibernation as the crypto market corrected and brought their positions into loss territory.
But, should you really just give up and holder for better times to come? A seasoned trader will know that the bad times will not last and it is only in periods of capitulation that the greatest opportunities exist. However, mastering this psyche is greater said than done. It is common for many novice traders to lament about market correction and to elate when market charges ahead.
Most seasoned trader will always have 10% to 30% of their reserve funds saved up for rainy days. But, for many of us, who do not know when a crypto “winter” is here or when there is a period of a sustained bull rally, using an all-weather strategy would be apt. After all, no one can time the market.
By using a dollar-cost-averaging (DCA) crypto trading bot offered by CryptoHero, a trader can ensure that the cost per coin will keep decreasing as more coins are purchased during a bear movement. When the upswing arrives, the trader would have amassed a good amount of coin at a relatively low price and would be able to enjoy a better upside. Compare the latter scenario with a novice trader who simply buys in and hopes for the market to go up, only to be “stuck” when the market goes in the other direction.
CryptoHero’s DCA crypto trading bot offers traders a very valuable indicator or price entry condition which allows the bot to buy as the coin price keeps going down. The reserve is also true if a trader would like to sell up his position as the market enters a bull rally.
In summary, having about 20% of your bots using DCA would be a good move to consider. After all, the market is King and a DCA strategy would simply ride along with the market.