This is the overarching opinion I've seen on Tik Tok, YouTube, and even in my own classroom. It's that we are in the early stages of a recession. prices of major cryptos and stocks are down. Bitcoin for example is down 55% for the year, Eth is down 56%, and finally BNB is down 19%. Then looking at the stock market for the year some of the Vanguard ETFs I own are down 16-25% for the year. The sad thing is this is only the beginning of the down turn of Stocks, Crypto, Bonds and eventually real-estate.
So these past two months have been hard on the stock market and Crypto. What else is there to do. One of the first things I thought of was gold and silver, but upon further research it appears that gold and silver have recently dropped but also they have only increased in value by about 22% while the S&P 500 has tripled in value over that time. So gold is not a good place to park your money.
I also had a friend tell me buy land or real-estate. I thought this was a good idea at first until I looked at cost and whole picture. Land costs about $20,000 and does not make money on it's own unless I hold it for decades. Which can be a good long term investment. 20K is alot for a practically broke young adult so that throws it out of the picture completely. finally my last thought is I could take a loan out but why would I want to create debt that I could avoid in the first place.
My solution
Finally after thinking about what I am going to is hold cash. I will tighten up my budget where I can and throw all my money into savings. Then each month I was do some dollar cost averaging on BTC, ETH, BNB, and Matic, these are all coins that I believe will do good in the future. also on robin hood I will put some money into my ETFs and other stocks I think that will preform well. Lasty during the month any stock or crypto that is down 5% for the day/ week I will buy. Eventually the markets will bottom out and that's when I plan to put the biggest lump of cash into investments.
I believe having a plan will help me succeed in buying the dip correctly and not panicking when stuff gets messy these next couple of months to years.
I hope you enjoyed the article, Please feel free to comment on things you agree with or disagree with. I'd like to hear people's opinions so I can learn more from you guys.
Also disclaimer; THIS IS NOT FINACIAL ADVICE, make sure to DYOR and come up with your own ideas and thoughts.
Here's Some Referrals if You Are Interested :)
Honey gain:
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Roller Coin:
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Crypto.com:
https://crypto.com/app/5gmqukphvg
https://join.robinhood.com/joshuah-9c6fd9