OK I'm 25% poorer on paper than this time last week, but I'm not one of those panic-selling my crypto, in fact I'm inclined towards cashing in some of my stables and maybe going a little deeper into BTC or ETH, and especially Rune.
However, I'm not topping up my crypto bags just yet, I want things to settle first, the market's a little too volatile still to go on a shopping spree.
In the meantime, I think FOUR general investment strategies are helping me to stay calm during these volatile times.
Only putting in 5% of my wealth into crypto in the first place
It feels almost unreal that I've only put 5% of of my Wealth into crypto over the past nearly four years, much of that bought during the last trough in December 2018.
And given the gains I've made over those years, even a 30% dip means I'm still well-up on that original investment.
I can easily get by without Crypto, of course it would be nicer to have a crypto portfolio values at $250 000 rather than $25 000, but I'm not going to starve even if the whole cryptosphere implodes.
I'd just be annoyed I didn't cash out earlier, but I've got other income streams and assets besides, which helps me stay calm during such periods of crypto blood baths!
I've been diversifying into Stables
It's at times like these that I'm glad I sold most of my DEFI yields into Stables, in fact I've more than covered my total FIAT investment into crypto and it's now sitting in various yield farms (mainly on Cub) helping to prop-up the value of my 'real crypto' (non-stable) assets.
There's nothing like having a decent percentage in Stables to take the edge of a BTC etc. crash!
I had a target in mind, which I'm only a few hundred off making, but I'm now selling less of my yields into stables and more into crypto. Makes sense when things are on sale!
Modified Dollar Cost Averaging in to MOAR crypto
I'd still like more ETH, BTC, RUNE and a few other bits and now we've got this downturn, I'll be looking to resume my purchasing of these little by little.
I don't try and predict the bottom and buy big, but around now is when I think it's maybe good to buy a little more of the cryptos I've targeted, rather than cashing out for stables.
In short - during a bull I cash out DEFI for stables, during a a bear I cash out for cryptos - and then plough whatever back into crypto
I have a low expenditure!
This is my secret weapon in keeping calm during a crypto crash - my outgoings are quite small and I'm looking to DIY meet more of my basic needs - going as moneyless as possible.
In this way crypto tokens seem almost like play money, or maybe game money is a better term?
Final thoughts - I'm lucky I can stay calm
I'm glad I'm in this position - of not having to rely on crypto to live ATM, a function of my low expenditure - which allows me to see a crash as a buying opportunity.
I'm sure crypto's not quite dead yet - there's a lot more to come - we are still at the very beginning don't forget and these massive corrections, well, that is just crypto!