Reminder: HUGE price swings are NORMAL in crypto. This isn't one.

[JA8]

Seeing a lot of people displaying signs of confusion or panic because of the recent (tiny) price drop. 

If you think this is any sort of sizeable drop then you must be very new to crypto. 

Just posting this as a friendly reminder that a 20% drop in price is extremely common and there is absolutely no reason to panic. In fact, if you're not used to seeing this, you must have only been involved in crypto for a couple of months at most.

20%, 30%, 40% and even 50% drops are VERY commonplace in crypto. If you panic sell you invariably regret it. The truth is, XRP has been an unusually *very easy * ride so far for a crypto actually. I know this because I haven't felt like throwing up yet since holding. We fortunately haven't seen any early-ETH like 70% downswings (yet?). Something like that could happen at some point. I don't think it will, but it could. 

If it does, those that hold will end up rich (IMO). Those that panic may regret it for the rest of their lives.

On the positive side, 200%, 300%, 400% or 500% rises are also extremely common. People get overexcited and bid up the price of the asset, then there are pullbacks. It's all completely normal and is actually *nothing to do with* Coinbase or Wall St Journal or anything else. None of this is "news". 

TLDR:  Don't be surprised if XRP drops to $1.30. Don't be surprised if it climbs to $5. 

To paraphrase Marilyn Monroe:

If you can't handle XRP at its worst, then you don't deserve it at its best.

Edited January 5, 2018 by JA8

[marousi]

well said, for me depressed price is a buying opportunity

[dadofzara]

I think what we saw today was new investors panicking.  Then they end up buying back in later with less XRP than they had before.

I've been through numerous investments over 15+ years, so today's dip was nothing spectacular.

[xx_cr]

all right

[Fleshmeister]

Yeah, a lot of people obviously learnt it the hard way, the threads just kept coming. Good post, might calm some new folks

[John_Buh]

Wise is the old bromide 'Only invest what you can afford to lose'

And always John Buh your zerps

[Trisky]

Price swings are not a hodlers concern.

Weak hands, faint of heart and day traders could have a bad day and this is also non of my concern. 

Back to enjoying my life and past gains to build a brighter future. 

[John_Buh]

So, your 3 laws of motion don't apply in crypto?

[bookworm]

There are two types of crypto trader.

The hodl owner like me tends to hold for medium to long term ignorant of spikes and portfolio $$$ ups and downs.  Though I am glued to my phone for opportunities gained or lost, I am unleveraged so only watching blips as an entertaining sideshow while at times kicking myself for not buying much much more at the onset.

The day traders of cryptos are the technicians normally on leverage who try to time the fast pace peaks and valleys so that they can multiply these port quickly.  When news is out about another coin prospect like Tron for example, they pounce for double/triple digit gains.  Time is on their side as they are often glued to the phone for small murmurs or potential outbreaks/newsworthy events with kudos for those lightning fingers, understandng and wise judgements.

So, some daytrader exited XRP after the CB news but they may have to wait to jump back in.  Actually, it is better to weed out the day traders to reduce volatility.  Strangely, the bitcoin-type tokens are all green now while all minted unmined tokens are all red.  XRP is in fact holding on to smaller losses which only means that the CB was just a murmur but not something to get excited about for hodlers with 2-5 year investment horizon ...

Edited January 5, 2018 by bookworm

[John_Buh]

I think it is refreshing to see a divorce from Bitcoin's moves.  Is the market finally sensing a fundamental difference?

[Ally28]

I’m a few months into crypto but still in it for the ups and downs - nothing goes up in a straight line. 

Just a test of nerve, went through it on a LSE stock and trust me, just ride it out. What’s the point in leaving in the middle of the trip?

[bookworm]

• Quote

  What’s the point in leaving in the middle of the trip?

  Some people bought in for around $0.006 well before 1H 2017 or about $0.20 in latter 2017 so I cannot blame them.  Even though I bought in below $0.20, I will not off-board the train until it has reach its destination.  While tempting to take significant gains by holding for less than six months, XRP still has a way to go before I will consider selling.

[MooseInTime]

Those not holding XRP tokens, but using CFD/Spread betting tools like eToro for XRP contracts, may be forced to sell if they get a margin call.

Trading crypto contracts with leverage is playing with fire right now.

Hopefully they have enough loose equity to ride out the dips

Edited January 5, 2018 by MooseInTime

[iLeeT]

I think there are a lot of newcomers that are yet to experience huge price drops, the market has been bullish for 3-4 months now which is absurd. But everyone has to experience bear market and panic selling at least once in order to have a better understanding of this market.

[bayarea510]

30 minutes ago, iLeeT said:

I think there are a lot of newcomers that are yet to experience huge price drops, the market has been bullish for 3-4 months now which is absurd. But everyone has to experience bear market and panic selling at least once in order to have a better understanding of this market.

When do you foreshadow a bear market kicking In? Plan to buy a large amount of xrp then.