Crypto markets are in free-fall as investors in areas most effected by the Corona Virus sell off their investments.
This is a two-fold reaction.
Asian investors continue to sell off as South Korea and China battle the viruses continued spreading.
At the same time, Europeans are bracing for the effects of the just announced US travel ban, which will halt travel between the United States and Europe for at least 30 days.
Bitcoin's success comes back to bite...
Remember, panic selling isn't based on logic, and there's an interesting thing that happens in these conditions - people don't sell investments that have lost money, but rather the ones that have made a profit.
Taking a loss is just a harder pill to swallow, compared with the winning feeling of cashing in a profitable investment.
Now that you're aware of this common mistake, you can make sure to play it smart and sell your losing investments first!
With Bitcoin being the top performing investment of the year, that makes it first to go.
But They'll be Back...
The flip-side of this is, most crypto investors believe a 'come back' following a crash is pretty much a sure thing. They've watched it happened so many times, people speak of a recovery in terms of 'when' not 'if'.
Once the market agrees the sell off has hit bottom, the same people who just sold are likely to jump right back in, and the long term outlook remains extremely positive.
-------
Author: Harvest Hill
Silicon Valley Newsdesk
No comments
Post a Comment