Ben Simpson explains what to do when a crypto portfolio is down after buying at a local top: identify and sell non-performing ‘dead weight’, accumulate assets during market dips to lower average buy price using available cash, or hold and wait for recovery if you cannot accumulate. He warns that selling locks in losses and emphasizes focusing on the ‘right assets’ (those outperforming Bitcoin).
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What do you do if your crypto portfolio is down and you're wondering, what should I do? My portfolio is down. I bought the local top. Should I sell? Should I hold? Buying the local top, unfortunately, is what a lot of people do. Why? Well, markets are emotional. You buy when the market's pumping, and that's when most people get in. I was being to a client recently that recently bought in, and he put a lot of money into the local top, and he's now wondering what to do a few months later. What you want to do is start to lower your average buy price. All right? So when you get the most amount of returns is obviously when the market can really outweigh and outpace the buy price that you accumulate in your crypto. Now, if you bought at the local top, my point of view is, one, you need to make sure in the right assets to sell any dead weight that's not outperforming Bitcoin. Two, is accumulate in these lower periods, when we have fear, when we have read. Right now, you need cash to lower the buy price. Otherwise, Three, your only other way is to hold and wait for the market to come back. If you sell, you're just locking in those unrealized losses, and they return into actual losses, and you have no way to accumulate them back. So as long as you're in the right assets, you. You cut the dead weight. You can reduce your overall buy price or hold and wait. That is how you get out of buying the local hire.
