Panic Selling Because of Price Decline

19 replies 76 views
its_vaultFull Member
Posts: 134 · Reputation: 435
#1Aug 4, 2021, 05:37 AM
What's with all the folks selling their Bitcoin just because the price is dropping? Do they honestly think it's gonna keep tanking and never recover? Honestly, before jumping into Bitcoin, people really need to wrap their heads around how this market works. If you get how it operates, the ups and downs in Bitcoin's price aren't a big deal. Instead of freaking out, it’s better to see these dips as a chance to scoop up more before prices go back up.
3 Reply Quote Share
bit_2016Senior Member
Posts: 184 · Reputation: 1253
#2Aug 4, 2021, 08:49 PM
I've been there and I'd say yes. The fear is heavy for those looking at the price and buying near the peak. When all they see is bloods on the streets. Do not worry. Personal experience and real-life encounters of how the market plummets a lot make us better and stronger people. These shakes won't be a matter to them anymore when they've been through several ups and downs. It is only disappointing at the beginning, but when they get to understand that these are normal moves and have to happen, they'll be the calmest holder after that.
5 Reply Quote Share
cipher_lynxSenior Member
Posts: 141 · Reputation: 918
#3Aug 4, 2021, 11:43 PM
Some are not in for long-term holding; they are in for making short-term profit and can't risk waiting for Bitcoin to fall down and climb up again. They sell under pressure not because they are afraid the price will not go up but because they don't want their portfolio to reduce below what they are seeing and want to rebuy when they have seen the price drop down where they can consider the dip. But in most cases, some traders that behave that way end up losing money, as they might not be able to see a good entry price to rebuy.
3 Reply Quote Share
basedchainFull Member
Posts: 98 · Reputation: 583
#4Aug 5, 2021, 01:50 PM
It’s normal for some investors to panic when they see the price drop, and we call them "weak hands." These are the ones who end up giving profits to the smart investors, who take advantage of their mistakes. That’s why when there’s FUDor FOMO, newbies often fall for it, only to regret their decisions later.
1 Reply Quote Share
leo69Senior Member
Posts: 134 · Reputation: 820
#5Aug 5, 2021, 04:04 PM
OP, it is a normal experience that constantly repeats itself so often. I think it is part of the process or cycle if you will like to know, and all these occurrences and happenings make the process keep going on. Most times, people who are quick to sell their Bitcoin whenever the market is going bear are those who bought very high, and as a result of the fact that they are inexperienced, they are triggered to sell their coin immediately for fear of not losing out. These are part of the processes involved in the crypto space and people who have been in the system for a long time take it as an opportunity to bag more from the paper hands who are quick to see as a result of the market reaction just because they do not have much experience on how the market works. However, these newbies who do this gradually get used to the process, and as time passes, they begin to see and know the techniques about the whole market situations and start to exercise self-restraint from rushing to sell at any slightest market reaction. They become more observant and follow the trend accordingly.
5 Reply Quote Share
its_vaultFull Member
Posts: 134 · Reputation: 435
#6Aug 5, 2021, 06:36 PM
More reason why anyone who prepares to invest should first of all read through thoroughly how these markets work and be ready for the outcome of whichever way  it turns out they'll still stand strong and wait. Anyone who sees such opportunity to buy would do it with all gladness .
4 Reply Quote Share
coin_sigmaLegendary
Posts: 1275 · Reputation: 5553
#7Aug 5, 2021, 08:11 PM
I don't think it is just because of the fear? What I think is if they see drop in price, investors will sell immediately they just want to cut their losses and soon to buy much cheaper price until the price becomes stable or rises back again to the previous price drop. This isn't just a fear they are looking for a better position or cheaper price to make a better profit later. For individual or retail traders, they can't actually affect the market much; if they panic to sell, they are not banks or institutions to move the market price further. I don't see any weak hands here and think about what the cycle of BTC every 4 years.
5 Reply Quote Share
basedchainFull Member
Posts: 98 · Reputation: 583
#8Aug 5, 2021, 08:35 PM
Just follow a simple strategy if you want to ensure profit. when there’s huge panic, that’s your chance to buy at a cheap price because the market will eventually recover. Even as the market grows, manipulation still exists. But that’s the good part if you’re knowledgeable, especially from experience, you can easily spot buying and selling opportunities. Just rinse and repeat = easy profit!
4 Reply Quote Share
bear2021Full Member
Posts: 214 · Reputation: 612
#9Aug 6, 2021, 01:13 AM
Those who sell in panic are obviously those who come to invest without understanding how bitcoin investment works. That’s the consequence of investing due to greed, one cannot think smartly because his decisions are all motivated by his emotions, which is very wrong when you are investing in a highly risky and volatile investment.
4 Reply Quote Share
raven_sigmaFull Member
Posts: 83 · Reputation: 497
#10Aug 6, 2021, 04:17 AM
Don't be afraid of Bitcoin price dropping in the market because it has been the method of Bitcoin right from origin, that the price always fluctuating in the market, so the price of Bitcoin dropping in the market it should not make in one to panic to sell out the Bitcoin they hold, that has been the nature of Bitcoin right from time that the price always changes Since I know Bitcoin the price has not recorded only increasing but also record both increasing and decreasing, so I know very well by bitcoin price always increases based on the market demands.
1 Reply Quote Share
stack42Member
Posts: 64 · Reputation: 207
#11Aug 6, 2021, 10:01 AM
I believe it's a common misconception that Bitcoin sales are occurring just because of fear due to its price crash. Bitcoin is currently at $82,000, which is undoubtedly a major downfall from the current ATH, but from my perspective, not a concerning one. Apart from that, we need to acknowledge that not everyone is a holder, there's a great number of traders on exchanges that are conducting transactions on a daily basis. Just because someone is selling doesn't mean that they're afraid nor that they do not believe in Bitcoin. Market crashes are opportunities to those brave enough to take such risks. The recent price fluctuations could have been extremely beneficial for those who knew how to take advantage of them.
4 Reply Quote Share
mike100Senior Member
Posts: 178 · Reputation: 837
#12Aug 6, 2021, 03:59 PM
Yes, there could be fear in the mind of investors that's why he or she sells the sell button. At least to stop the bleeding, and then maybe when everything settles down, they will come back and buy again. Of course, I think everyone is well aware of that, but if you think that those who are selling are giving the market liquidity, you will say that it's good. So that others can buy as well and enter and it will make the market healthy. Definitely we can hold as long as we want and accumulate as what majority of us here and looks at the bigger picture. But this market is open to everyone to trade, so no one can stop somewhat from selling due to his fears.
3 Reply Quote Share
d4rk5tackSenior Member
Posts: 259 · Reputation: 1325
#13Aug 6, 2021, 07:55 PM
Most people are short term investors who might have actually used money they cannot afford to let go for a very long term to invest into bitcoin and as such when price begins to constantly fall for a little time they decide to cut loss according to them by selling off their assets. This is most common to even those who borrowed money to invest as they get scared when they see price drops and they end up panicking about it and they sell off early. All this things are simply associated to lack of proper risk management, Without risk management many have bought bitcoin with amounts way ahead of their capacity and once their target are not reached they simply results to selling them to quickly get the invested funds back which usually ends up been in lost
1 Reply Quote Share
d4rk5tackSenior Member
Posts: 259 · Reputation: 1325
#14Aug 6, 2021, 08:55 PM
Most people are short term investors who might have actually used money they cannot afford to let go for a very long term to invest into bitcoin and as such when price begins to constantly fall for a little time they decide to cut loss according to them by selling off their assets. This is most common to even those who borrowed money to invest as they get scared when they see price drops and they end up panicking about it and they sell off early. All this things are simply associated to lack of proper risk management, Without risk management many have bought bitcoin with amounts way ahead of their capacity and once their target are not reached they simply results to selling them to quickly get the invested funds back which usually ends up been in lost
1 Reply Quote Share
davechadMember
Posts: 71 · Reputation: 225
#15Aug 7, 2021, 01:54 AM
Personally, I feel this stems from the wrong attitude towards bitcoin investment, we all know bitcoin is a long-term investment activity and it is important we invest with our discretionary income, so I believe that for those who are constantly panicking about the price drops are actually those who invested with their main income , seeking short-term benefits from the markets and are only disappointed their gamble didn't work out for them. In bitcoin accumulation, if you are in a hurry, then you may likely loose since the volatility of the market can move against your buy positions anytime and you need patience and an obvious long-term plan to make good profits from your investment. You need to also understand the cycles properly so that you can know when to buy when the prices are low and sell at a higher price if its your investment plan. Personally I see this price drop as an investment opportunity rather than a time to panic sell
2 Reply Quote Share
real_pixelSenior Member
Posts: 206 · Reputation: 1105
#16Aug 8, 2021, 05:17 PM
The other logic that we can apply on this one is that the losers are the ones who sells and the smarter ones who gets to profit in the long run. We cannot stop these weak hands from doing what they feel is right but it shouldn't come up with emotion when it's with investments and holding Bitcoin. Knowing the priority from having Bitcoin as an investment won't lead you to acting weird and crazily scared of what's happening in the market. And this is the reason why every investor needs to be informed and knows what's happening in the surroundings so to avoid believing with FUD.
1 Reply Quote Share
leo69Senior Member
Posts: 134 · Reputation: 820
#17Aug 8, 2021, 07:01 PM
I believe this to be an error from your end, and I will advise you to delete it so that it does not look like you intentionally did it while ignoring the rules of the forum. Maybe you should call the attention of the moderator to help you delete it so you do not have issues here or members calling you out.
2 Reply Quote Share
SwiftCobraFull Member
Posts: 34 · Reputation: 336
#18Aug 8, 2021, 08:53 PM
There is this feeling and anxiety that always comes with losing money even when you know there is still hope of getting it back you will never be comfortable when losing it. So it is the same feeling with when the price of bitcoin is dropping not everyone has the ability to withstand the pressure of not selling when the dip is high that is why it is advised to have a long time investment plan to help divert your attention from the price movement. Having knowledge and discipline are two different things. While knowledge lays the foundation, discipline is what helps you apply it effectively, especially in navigating market challenges. Just as Sunsilk said, experience and real-life encounters shape you into a stronger, more disciplined person. The more you experience you have, the more comfortable you'll become with such price crashes but it's typically tough at the beginning.
2 Reply Quote Share
r34l_bridgeFull Member
Posts: 93 · Reputation: 701
#19Aug 9, 2021, 02:52 AM
Be greedy when others are fearful and be fearful when others are greedy. If you know it, and can prepare your capital, personal finance and psychology well, market dips or crashes are very great opportunities for you to purchase your first bitcoin, a small fraction of it as well as accumulate more bitcoin in later purchasing rounds. It is time to be greedy when others are fearful. https://www.bitcoinmagazinepro.com/charts/bitcoin-fear-and-greed-index/
1 Reply Quote Share
cobra2013Senior Member
Posts: 308 · Reputation: 1912
#20Aug 9, 2021, 07:04 AM
I think it's one thing to know how the price moves and quite another to actually experience it. If you don't have a stake while looking at the chart, you're not emotionally invested. You aren't risking anything at all. Your viewpoint is neutral so to speak. So, if the price drops, you'd casually shrug it off as a normal movement. It's another world when you're risking your money in it. Emotions get into play. All kinds of imaginations are busy swirling in your head. They'll influence you one way or another. The bigger your stake is, the more affected you are of the price movements. I guess this is normal. However, long actual experiences will eventually harden you. So, if you're able to withstand all this and survive, it won't bother you that much any longer. If you're a newbie, invest moderately, and survive. You'll soon develop diamond hands.
2 Reply Quote Share

Related topics