Cryptocurrencies are falling, very hard. What's interesting is that many investors were seduced to buy after prices went up 10-fold. Now that most crypto prices have retraced 50 to 70 percent they are seduced to sell.

Buy low, sell high,right? Simple fact?

Not that simple, apparently, at least not to apply consistently. Because it ‘felt' so easy to buy as all crypto prices were in green.

Of course, that's how the mind of people work. It ‘feels' natural to follow the herd: if everything is green, everyone is buying so I have to buy as well.

The reality is that smart investors do the opposite. It may ‘feel' hard to do so. Let's face it: if you had cash on the sidelines would you become very happy and buy as there is a sea of red in crypto world?

We do.

In our blockchain investing research service we educate people, and give them insights on what they should and should not consider doing as prices go up but also when prices go down. After all, we became very cautious on December 31st when literally everyone was super excited. Interestingly, most were not willing to listen.

And THAT is the key to successful investing: the contrarian trade is mostly the successful trade.

Last week, we sent a long alert to our paid subscribers, in which we gave them guidance on how to manage their presumably bad feeling of falling crypto prices.

If you feel very bad it means you did something wrong. And you MUST rationalize this situation. It is essentially very simple, only one of the following things have occurred:

• Problem: You bought too high. => Resolution: You have to wait longer until you are in green again.
• Problem: You do not have cash to buy at today's discounted price. => Resolution: Next time, you keep some cash at the sidelines.
• Problem: You get scared from those doomsday articles on the internet. => Resolution: stop reading, and ask yourself what you have to buy (hint: cryptocurrencies that provide real value as we have said repeatedly).

It essentially is as simple as this.