The bull market has not ended; after such a rapid decline, a strong rebound often follows. Perhaps Wall Street is paving the way for Trump’s ascent, laying the foundation for next year's first-quarter market.
It is regrettable that in the face of such a sharp decline, there are not enough funds available for averaging down. Maintaining a fully invested position throughout the year, and even occasionally using leverage, is clearly unreasonable. A bull market often accompanies sharp declines; this is a well-known fact. From a human perspective:
One should be greedy when others are fearful, but there is no cash available;
When others are greedy, one should reduce their holdings, but this is often not practiced.
Although the principle is simple, it is extremely difficult to practice.
Improvement actions
One needs to learn to maintain a cash position of 10%-30% at all times to deal with similar 'small black swan' events. Current market sentiment is generally fearful, mostly due to a lack of cash position. If there is sufficient cash, the mindset will be more composed, and one may even seize the opportunity to be greedy.
Investing is essentially a form of self-cultivation:
A month ago, I couldn't sleep due to excitement, but now I can't sleep because of discomfort.
If one can remain unaffected by market fluctuations, sleep peacefully, while regularly maintaining cash flow for withdrawals or to add to positions, perhaps that is the true path to success for retail investors.$BTC