Bitcoin Investing: Why Market Timing Matters

2022 is over. The last Bitcoin monthly candle also closed red. Bitcoin kept falling throughout this year. On the other hand, if you had entered the market in 2021, you would have experienced an explosive rally in coins.

Why Market Timing Matters

It's not easy for individual investors, but this shows just how important market timing is. Depending on when you started investing, some people experience an uptrend while others experience a downtrend.

I first got into coins around the time of the so-called "Park Sang-ki shock" in 2018. Well, to be precise, it was a little before that, and I think it was truly the worst possible timing for a beginner. Having gone all in at the very tail end of the rally, I had to endure nothing but a bear market for nearly three years.

What You Can Do in a Bear Market

According to this video, the outlook is that a dramatic rebound is unlikely this year as well. So what can you do in a bear market?

If you're already stuck in a losing position, HODLing may be the answer, and starting to dollar-cost average from now on could also be a good idea. It would also be wise to stay in the market but invest your time and energy somewhere other than staring at charts. That could be studying investing, or simply something you're interested in or enjoy.

Wrapping Up

For an individual investor, predicting the exact market timing, that is, the exact point where a rebound begins, is close to impossible. Just as there is no endless rise, there is no endless fall.

If you find undervalued and oversold assets and steadily buy in installments from now on, then when the next bull cycle eventually comes, won't you be able to smile with satisfaction and congratulate yourself on the strategic investing you're doing today?