Ask Leo: What is the best manner of approach towards bear market?

Bear market is the general downtrend when the stock price drop by 20% or more from the recent time all high and remain lower for a certain period of time. In cryptocurrency world, bear market is one of the great period for the investors.

Investors get troubled when the fall market price is share but there are some smart approach an investor can inculcate in time of the bear market.

An investor need to keep their emotions in check. Emotions is one of the why many investor lost their stock during bear market when they couldn't hold onto their fear. It is very important to separate emotions from business decision making, Investment decision making should be the investors priority. keeping their cool during bear market is the best for the Investors and they should have it in mind that having fear is the emotion that can cover our logical judgment.

To play dead is another logic an investor can use during bear market, it is very important because fighting it can be dangerous. It is great to avoid any unnecessary move during bear market and it is the best to consider to stay calm in order to avoid being a prey to the bear. Putting the great part of the investment money market security is the same thing as playing dead.

Diversify is another best approach towards the bear market, it is not good to put all your eggs into one basket, it could be risky. Diversifying can help to reduce the risk because one portfolio have a poor performance the other might be blooming.

Bear market is the best period for an investor to invest more because they can buy at low price. It is important to look for the stock with great potential and good value, buy at the low price and sell when the price is high during bull market. Never invest all your life savings and invest the amount you can afford to lose.

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