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On this week’s episode of “Bitcoin Bottom Line,” hosts CJ Wilson and Josh Olszewicz discuss how to survive in choppy markets. There is currently high volatility in the Bitcoin space, which might be confusing for new users. Wilson explains, “If your first bitcoin purchase was $45,000 or more and you’re looking at a price of $18,000, that doesn’t look good in your wallet. For those of us who bought when the price was $3,000, we are always comfortable knowing the price is above that because we know that downside volatility is rewarded with all-time highs. on the rise.
Wilson and Olszewicz discuss the difficulty of taking profits. Olszewicz says, “The volume of any cryptocurrency has dropped dramatically and the number of people trading it publicly is a very small percentage. People don’t trade like they used to unless they take a different approach to long only. The long-only strategy only works if you take profits and buy back at a lower price. The problem is that in a market like this, you don’t know what the bottom is. Wilson warns that you shouldn’t just invest in one place. He says: “At the moment, the winning strategy is not losing.”
Wilson and Olszewicz moved on to talk about blue chip stocks and the stock market. Wilson thinks the search for yield in cryptocurrency is the most dangerous mindset to have right now. “I feel better about owning stocks that pay dividends.” Wilson thinks blue chip stocks can be kept in your overall portfolio for retirement, but you need a mitigation strategy. The most important thing is to understand your total risk profile and your thesis on what is going on.
Olszewicz concludes the episode by telling Bitcoin users that they need to decide why they are here. “You have to decide your time horizons, why you’re here, why you’re here, what your goals are, and if you can sleep at night.”