Anyone who has stayed and watched the markets long enough, like Ryan Dean Hoggan, will likely conclude that cryptocurrencies are here to stay. However, there have been some debates about how volatile the entire market structure can get.
For some analysts, it’s a major concern, raising questions about how well crypto can replace fiat. But for others, the unpredictable market movements are not exactly a big deal. After all, in everyday economics, we get to see price changes, exchange rate fluctuations, and stock market volatility as often as we can imagine.
Thankfully, experienced investors like Ryan Dean Hoggan have found proven ways to handle unpredictable markets. Below are some of the tips he shared about making the most of the market, even at its most volatile point.
Expecting the Unexpected
Ryan Dean Hoggan advises cryptocurrency enthusiasts to prepare for both extremes in the market. Unpredictable markets can lead many traders and investors to panic and end up in a loop of wrong decisions. However, when price spikes and sharp declines are expected, you can better prepare for them and make informed decisions.
— Ryan Hoggan (@RyanDeanHoggan) October 6, 2021
Studying Market Patterns
As unpredictable as the cryptocurrency market can get, he believes several rules determine market activity. So, it pays to get ahead of the market through studying patterns and repetitive events.
While you may not predict exact occurrences, historical patterns may show you the direction the market is headed.
Insulating your Investments with DeFi
Decentralized Finance (DeFi) is the next best thing in the cryptocurrency sector. More reason why Hoggan says he’s deeply interested in the workings of DeFi solutions. According to this expert investor, DeFi offers just a reasonable level of stability in volatile markets.
Hoggan identifies smart contracts and diversification as ways he takes advantage of DeFi to handle unpredictability in cryptocurrency markets.
Firstly, he relies heavily on smart contracts and automation to cut back on losses during unpredictable market events. DeFi protocols and web 3.0. applications provide automatic trade execution strategies that help him rebalance positions during price fluctuations. That way, he can buy at low market ranges and sell off during price declines.
— Ryan Hoggan (@RyanDeanHoggan) September 21, 2021
Additionally, diversification under DeFi modes helps him manage volatility. One of the major DeFi offerings he finds fascinating is NFTs. Non-fungible tokens (NFTs) are by their nature unique and irreplaceable and he is keen on putting them up for sale as they help increase investment holdings since their prices remain stable regardless of the market situation.
Overall, there’s a lot of potential in the cryptocurrency market if you’re patient enough to figure out how the market operates. Ryan Hoggan advises, finally, that investors not just follow the above steps to keep afloat in unpredictable events but also look to creating value that will increase the market’s credibility.