The answer to current Downturn in Crypto as well as in stocks is " The yen carry trade "
The yen carry trade is a popular financial strategy where investors borrow Japanese yen at low interest rates and use the funds to invest in higher-yielding assets or currencies. By capitalizing on the interest rate differential between the yen and other currencies or assets, traders aim to earn a profit from the higher returns while paying minimal interest on the borrowed yen. This strategy can impact currency markets significantly, as large-scale carry trades can influence exchange rates and financial flows. Understanding the yen carry trade is crucial for investors looking to navigate global markets and leverage interest rate disparities for potential gains.
so Bank of Japan has been increasing interest rate since December 2023 but now the big sell off by japanese investors has taken effect. They have taken out all the money invested and will payback their loans.
You can utilize such dips by buying more at low rates and DCA your positions . Never get in too much trades at such time. Be calm and observe the Market.
Let the market settle and then invest in the best projects . Remember Alts are still at very low position and many alts haven't even recovered half of their previous All time high. Analyze your portfolio and try to invest wisely .
Do your own research