Quick Word of Comfort For HODLers, “When Crypto Runs, it Can Run Hard”

Anyone HODLing from the top probably feels like their investment is as good as dead. However, crypto isn’t a penny stock, even cryptos beaten down hard can rally back in theory.

I’ll explain what I mean like this, back in 2015 I thought coins like LTC could never get back to where they were. LTC goes from $40 to $1.50. I was worried about it going lower honestly. No way its going back to $40 I thought… but fast forward to 2017 and it goes to $400.

Back in late 2017 I thought, “no way alts go to the BTC prices they saw in the summer” (they had been beaten down very hard in BTC prices at that point).

Well, many didn’t, but a few did, some more got close, and a few others missed the BTC target but exceeded all time highs in USD… and this happened really quick (like with 2 months they had got there and started to retreat!)

This is why the HODL meme became popular in a sense, the amazing ability of cryptos to rally back like crazy.

Say you had a coin that was at $2 and now is at $0.04 cents. Maybe this happens:

1. It rallies to $0.08.
2. Months later in a boom it rallies to $0.20.
3. A year later it does 5x and goes to $1.
4. Then there is this big alt boom and its back up to $2.

It didn’t just go from $0.04 to $2 in a straight shot, it ramped up to that over time in jumps that were understandable.

Look, the reality is this is the sort of price action that got alts to where they were at the peak in 2017 – 2018. It might be years away, and it might never happen again, but historically it has happened to many coins… and that is why when you are already down 99% (or whatever) in crypto there are reasons to not give up and take a loss and instead to just stick your coins in a wallet at wait it out.

TIP: If you have guts and a high risk tolerance you can average down in a coin that is down hard. This means in our example maybe you only have to get back to $0.50 cents and not $2 to break even. Maybe at that point you take half out and then let the other half ride. Something like that. You have options, one option is HODL, the other is dust yourself off, level up your knowledge, and try again. Remember though, some coins are never coming back, there is a graveyard. So HODLing and averaging aren’t magic pills.

Bottomline: Your coin isn’t dead until it goes to the graveyard. I’ve seen a coin go from a penny to $20k, it was Bitcoin. Most coins don’t preform that well, but like, you don’t need that size increase to get back to breaking even even if you bought at the top with 99.9% of coins. So in that sense, you still techincally have hope.