Why People are Still Buying Crypto currencies despite the dip

[Jasz]

Cryptocurrencies aren't immune to the law of supply and demand. When the supply is high and demand is low, prices fall. With that in mind, it makes sense that many people are wondering why anyone would still be buying cryptocurrencies when their value has dropped so drastically.

The answer is simple: there are still many reasons to buy cryptocurrencies today. First and foremost, there's the fact that cryptocurrencies have a finite limit on how many will ever exist. This is known as "cryptographic scarcity". This means that as more people invest in crypto, the finite supply of crypto increases in value.

This creates a sort of self-fulfilling prophecy, the more people invest in crypto, the higher the price rises; then, when the price falls again after reaching a peak, those who invested at its height are left with tokens worth less than they paid for them initially but still more than they would've been worth had they not invested at all. So even if you bought some cryptocurrency when it was at its peak price, you could still make money by selling those coins back on an exchange in future because they're worth much less now than they were then.

 

[Holicent]

Despite the fact that the crypto market is currently experiencing a dip, people are still buying cryptocurrencies. The reasons for this are varied and complex.

First, many believe it will go back up again and they will make their money back. people are investing in crypto currencies because it's an opportunity for them to make money. With the amount of money being poured into these currencies, there's no way that some of it won't go back into your pocket if you invest.

Second, some people are buying crypto currencies because they want to invest in something that isn't controlled by banks or governments. They feel like this gives them more independence and control over their money than traditional banks or investments do.

Finally, some people are buying crypto currencies because they believe in their underlying technology: blockchain. Blockchain technology has been around for decades but has recently become popular thanks to its use in cryptocurrencies like Bitcoin and Ethereum (among others). Cryptocurrency is an asset that can be used as a store of values and it's one that has some compelling features.

 

[Skysaint]

Actually, I did ask a friend this same question because I too was confused as why they should still trust and invest in cryptocurrency despite the massive dip that we are yet to recover from then one of then actually gave me this answer "what is worst than death?". Actually I didn't understand what he meant but he explained himself to me and I think he's right afterall but still that wasn't a guarantee as anything, I mean anything can happen in the cryptocurrency market.
What he meant by that actually was that the cryptocurrency market has gone down to the lowest possible value for the bearish run and it's only natural that the bullish run will take place to an extent. I mean, how low could litecoin possibly go after the dip, Solana and the rest of it, I even saw Bitcoin going down to about $18k and I don't think the market will move down that much from here unless Bitcoin wants to lose value like Luna did.

So I think this is a very good time to invest a little you can into cryptocurrency as it's expected that the next news will be an encouraging one. Like I said earlier, it's never a guarantee in the cryptocurrency market as it's so unpredictable most times.

 

[Shaf]

I believe the people who are still buying cryptocurrency in this turbulent situation are mainly traders and those who are buying for long term.

Those who are also using the dollar cost average method to average in into coins they are prepared to hold for long would not be deterred by the market situation from buying.
This could be the bottom and the last opportunity for them to buy, but that fact is only realized in hindsight after the market has moved for long in the other direction, just like how it tools months for the fact to sink in that we are in a bear market now.

For traders, especially those who trade futures and have a successful strategy that still works in this type of market, there is no need to sit on the sidelines and leave money, as far as they practice proper risk management techniques.

 

[Easygrin1]

I believe investing now that the thing is dipping will bring more profit once crypto rises back