Top cryptocurrencies are falling along with the stock market.
According to Coin Metrics, the price of the digital currency fell below $33,000 on Monday. The digital coin has lost more than 30% of its value so far this year, but is still more than 50% from its all-time high.
ether fell to $2,300. It is down more than 30% from the start of the year.
While the losses can be distressing to investors, they also offer a chance for people interested in buying cryptocurrencies to review their financial plan and get into the volatile asset class if it makes sense for them.
He said that when something goes on sale and you like it, you should buy it. Cryptocurrencies have become an increasingly accepted form of payment.
Ross said that they are not at mass adoption yet, but that they are at mass acceptance.
Experts say that you shouldn't rush into any investment just because it is cheap.
If you don't fit your long-term financial goals, you shouldn't buy it just because it's trading at a discount.
If your time horizon is 10 years, I think now is a good time to buy it. He recommends that investors take a moreholistic approach to the asset instead of trying to time the market.
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He said that investors should have a clear goal for buying tHe price dropped, he said that investors should have a clear goal for buying Reasons include seeing the asset as a store of value, viewing it as uncorrelated to stocks or wanting to own it because of the increasing rate of adoption.
Johnson said that people should be aware of how much of their total portfolio is invested in cryptocurrencies and make sure the allocation matches their risk profile. New investors should know how much risk they are willing to take.
He said that if you put 20% in the digital currency, you have a problem.
Cryptocurrencies will continue to be volatile. The historically risky asset hasn't been tested in an environment like the one we're seeing today, where interest rates are set to rise, according to both Ross and Johnson.
You should only put in what you can afford to lose if it goes to zero.
Both experts stressed the importance of having a clear investment plan and a secure personal financial situation.
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