The cryptocurrency market is a very volatile market that is, the price keeps changing every time.
The price is not static like fiat currency which can be of the same value for a long period of time except it is devalued.
Another prominent factor that can affect fiat currency is inflation, the persistent rise in the price of goods and services.
All these does not change the value of #10 but it changes what #10 can buy.
This is an indication that there is no currency that has the same value in terms of the purchasing power.
The digital currency is not exempted but it comes with sophisticated changes in price caused by the forces of demand and supply.
When the price of a particular currency is going up, the cryptocurrency is said to be in a bullish market.
On the other hand, when the price is reducing, the market is known to be a bearish market.
Before you buy a coin, your expectation is to make more money due to an increase in price but what if the market keeps going down.
The current bearish market is not the first time. It is a usual thing in the cryptocurrency market.
Oh! Now I understand. So the price will not be going up all the time, but it will be going down and going up.
Yes. That is just a simple way of explaining it.
How do I safeguard my money when the market is bearish?
Until you sell a particular coin, the loss is still unrealized.
Don’t get it twisted.
You will see a decline in the amount in your wallet but until you sell the coin, the loss is not realizable yet.
One of the best ways to safeguard your money in the cryptocurrency market is to exchange your coin to a stablecoin.
What is a stablecoin?
A stable coin is a digital currency backed by USD which algorithm was built in a way that its price does not increase nor decrease.
Stable; that is the price will be equal to $1 irrespective of the market situation.
Examples of these stablecoin is usdt, usdc, busd among others.
In order to safeguard your money, you can exchange your coin to a stable coin and your $100 today will remain $100 even if the market is bearish.
How can I exchange my cryptocurrencies to a stable coin easily?
The kurepay platform was built in a way to make transactions, buying, selling and swapping cryptocurrencies to be easy for all users.
You can use kurepay to swap your coin to a stable coin without stress.
I have already lost a larger percentage of funds and I did not want to lose my money, how can I recover from the loss?
There is a way to recover from the loss, read more here.