3 ways to trade Bitcoin and altcoins during a bear market

While the markets are scary right now and the situation is likely to get worse, that doesn't mean investors should sit on the sidelines and watch from the sidelines. In fact, history has proven that one of the best times to buy Bitcoin (BTC) is when no one is talking about it.

Let's take a look at three ways you can take in bear market

Accumulation with dollar cost averaging

Being price agnostic is beneficial when it comes to investing in assets for the long term. A price agnostic investor is not affected by fluctuations in value and will continue to add to their positions by identifying a few assets they believe in. If the project has good fundamentals, a strong, active use case and a healthy network, it makes more sense to invest in a position by dollar-cost average (DCA) only.

Trade with the trend and stay away from extreme lows

Besides the stable and reasonably sized dollar-cost average, traders should build a war chest of dry powder and sit on their hands waiting for generational buying opportunities. Entering the market when it is oversold and all metrics are at extremes is usually a good place to open spot long positions, but with less than 20% of one's dry powder.

Do nothing until the trend changes

Trading during a bear market is difficult and preservation of capital and portfolio should be the top priority. Therefore, for some traders it is best to wait for confirmation of a trend change. As the saying goes, "the trend is your friend". During a bull market everyone is a genius and an excellent trader, so if this is you, wait for the next bull trend to come and then be a happy-go-lucky genius. Following the market structure and price movements of the largest stock indices will provide important insights into the strength and duration of any uptrend or downtrend that Bitcoin may exhibit. Follow Global Economic Developments on Social Media! Click here to follow Ieconomy official Facebook account! Click here to follow Ieconomy official Instagram account! Click here to follow Ieconomy official Twitter account!