LISBON, Portugal, Dec. 20, 2023 /PRNewswire/ — Allie Grace Garnett,  a finance professional turned crypto journalist, Investopedia author, collaborated with CasinosBlockchain for a data-driven study on the correlation between crypto holders’ behavior and market volatility.

In the dynamic world of cryptocurrency, the price of Bitcoin has witnessed a remarkable 130% surge in 2023, reaching over $39,000 from its starting point below $17,000 in January.

In the article, journalist Allie Grace Garnett explores the complexities of volatile crypto markets, examining how market participants react to rapid changes in token prices.

The analysis covers how individuals and organizations navigate the labyrinthine landscape of crypto market volatility, considering factors such as news events, social media, technological developments, evolving risk tolerances, and emotional decision-making that shape crypto user behavior.

Key Highlights:

1. Trading and Investing Behavior:Immediate Response vs. HODLing:

• Crypto holders may react immediately to price changes or adopt a ‘HODL’ strategy, holding onto their assets irrespective of short-term volatility.
• Tactical Approaches: Strategies like portfolio diversification, position sizing, dollar-cost averaging, stop-loss, take-profit orders, and hedging are employed to manage risk.

2. Buying and Selling Patterns:
Crypto FOMO & Opportunistic Buying vs Panic Selling

• Fear of missing out (FOMO) drives speculative decisions, while HODLers may engage in opportunistic buying during price lows.
• Market downturns often lead to panic selling, exacerbating downward trends.

3. Exclusive Survey Insights: 34% of gamblers scale back their activities during periods of high volatility

• A 2023 crypto gambling behavior survey by Casinos Blockchain reveals preferences among crypto gamblers during market volatility. View survey results.

4.
Crypto & Stocks: A tense relationship

• Complex Relationship: The article explores the complex relationship between crypto market fluctuations and traditional stock markets, highlighting the potential impact of institutional investors and macroeconomic events.

5. How
Bitcoin price impacts User Behavior:

• Historical Context: Reflecting on the Bitcoin bull run of 2017 and the subsequent market crash in 2018, the article illustrates how price movements influence various market participants.

6. Coping with Volatility: Strategies for Investors:

• The article provides valuable tips for crypto investors to navigate volatile markets, including diversification, long-term planning, risk management, and avoiding impulsive decisions.

Read the full article:
https://casinosblockchain.io/crypto-market-fluctuation-effect-on-investing/

Note: This press release is for informational purposes only and does not constitute financial advice. Readers are advised to conduct their own research before making investment decisions.

PDF – https://mma.prnewswire.com/media/2304613/Crypto_gamblers_habits_infographic.pdf

SOURCE CasinosBlockchain