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Bear markets are riddled with panic selling, the act of exiting the market at a low price based on fear. While FOMO tends to apply more to buying when the markets are on the incline, panic selling is more closely associated with bear markets. The Fear and Greed index differentiates between the two using a scale based on market sentiment, allowing anyone to observe the market sentiment before making a trade.

Panic selling is not exclusive to the crypto markets, in fact, it can be found across stock markets and financial markets too. People have an ingrained characteristic that allows fear to override logic, often resulting in poor choices, particularly in the investment sector. 

Fear is often instigated by the news, particularly in the U.S, China and UK, where FUD spreads like wildfire and share prices can drop in an instant. Take Elon Musk's tweets about Bitcoin and Dogecoin and the media hype surrounding this as a prime example.

To avoid this, traders should create an investment plan that they can adhere to and refer back to when emotions get the better of them. To avoid any pain when it comes to investing in crypto, we suggest you pay close attention to the following pointers.

How To Avoid Panic Selling

If you've found yourself tempted to take unprofitable action, consider the following tips on how to avoid panic selling entirely.

Always Come Back To The Basics

When it comes to making any decisions in the crypto trading space, always come back to the primary objective: cryptocurrency's value proposition. While there weren't too many early investors, many since then have entered the market to tap into the incredible gains that crypto has presented over the recent years. 

When in doubt, don't get sucked into price activity and instead return to crypto's value proposition. If you've invested in a cryptocurrency with impressive fundamentals that you believe in, there should be nothing to worry about in the long run. Similar to buying a property in a good area of a city, as long as the suburb remains that way your investment is a solid one. 

Consider reading a research paper or two on a cryptocurrency to become familiar with its use case, and use case potential, in order to weed out the more risky assets.

Start By Investing Capital That You Don't Need

You've heard the saying "never invest more than you're willing to lose" but consider this: if you invest $100 that you rely on each month if the market dips you'll want to pull the money out as soon as possible to cut your losses as you need that money to survive. 

On the other hand, if you invest money that you don't need that month or in the months to follow, small price changes will carry less emotional weight and have more chance of achieving long term benefits. 

Focus On Long Term Results

Anyone invested in the crypto market knows that in a matter of ten years the price of Bitcoin went from a couple of cents to $67,000. While these returns are almost unbelievable, bear in mind that they took a decade to achieve. 

Although the markets have since fallen, the long term returns are still impressive and certainly worth tapping into. Every savvy investor will always keep their eye on the long term perspective. As adoption increases with countries around the world incorporating Bitcoin into their financial systems (some even allow citizens to pay their tax in crypto), there is plenty more way to go.

There's no denying that we have all become accustomed to instant gratification, but take a look at the following average annual prices of Bitcoin and observe the value in focussing on the long term: 

2015: $500

2016: $900

2017: $15,000

2018: $8,000

2019: $10,000

2020: $9,000

2021: $40,000

Prepare For Pullbacks And Accept The Risks

The crypto market is notorious for being volatile, the best way to tackle this is to accept it. The markets have been known to lose thousands of dollars in a couple of hours. If you want to invest in the best performing asset in history, you need to be prepared for that. 

While the Bitcoin price has lost over 85% of its value several times in its existence, it has reclaimed that value every single time. Even the individuals that bought BTC at $20,000 in 2017 regained their value and then some in the bull run of December 2020. 

Be prepared to sit through some market dips, but know that it will recover. If you're focused on the long term perspective and have used capital that you don't rely on, pullbacks and market dips should not be damaging factors. 

Use A Dollar Cost Averaging Strategy

The DCA strategy involves buying Bitcoin at a certain time of the month as opposed to based on market activity. Buying Bitcoin, or any other cryptocurrency, on certain days of the month will mean that you pay varied prices for the coin. 

Say you decide to invest $100 a month in BTC. One month you might get 0.002 BTC while the next month you get 0.003 BTC. Dollar cost averaging levels out the entry price when accumulating the coin and allows you to become less emotionally attached to the market's movements and therefore less likely to panic sell. 

In Conclusion

The best crypto investors are able to commit to some degree of emotional detachment, have a strong investment strategy focused on long term gains, and only invest in highly vetted, functional coins. Building a portfolio of coins from strong projects will help to alleviate any market-related uncertainty and allow you to ride out the dips more confidently. If ever you feel tempted to panic sell, revisit this list of factors and resist the urge! 

You can also read our article on Emotion Management In Trading for extra insight on how to keep your emotions under control while trading.
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Etherscan is a free and widely used blockchain explorer that allows anyone to see any transactions made on the Ethereum platform. Not just transactions, blocks, gas fees, wallet addresses, smart contracts, and other on-chain data can be found on the page. Learn more about what Etherscan is and how it works below.

What is Etherscan?

As mentioned above, Etherscan is an Ethereum-based blockchain explorer. Aside from offering a peek into the advantages of blockchain technologies, Etherscan also provides an insightful look at the status of transactions, gas fees, smart contracts and dapp content. Etherscan is the tool that leverages blockchain's transparent nature.

Acting as a search engine and source of blockchain information, one doesn't need an account to access anything. However, users can create an account in order to access extra functionalities associated with their Ethereum portfolio, such as developer tools, enabling notifications for incoming transactions, and creating data feeds. Whether you're investing in a dapp, monitoring a wallet, or depositing funds to a blockchain-based game, all activity can be tracked through this browser-based service.

Why is Etherscan popular?

Etherscan is the most widely used Ethereum blockchain explorer and is highly regarded in the industry due to its seamless experience. While it won't allow you to store or trade ETH, it offers a reliable look into the functioning of the network, blockchain analytics and all Ethereum and Ethereum-based token activity.

Using Etherscan also provides a better understanding of how the blockchain works, providing insights into its operations and potential ability to spot suspicious blockchain activity (like project leaders selling their tokens, or large whale movements that will affect the token's price). 

How to use Etherscan

Whether you're wanting to look up a transaction or verify the validity of a smart contract, you can use Etherscan. Below we will guide you through how to look up a transaction.

How To Find A Transaction On Etherscan

Understanding how to track your transactions can be a powerful tool in the world of cryptocurrency, from seeing how many confirmations it has gone through to the amount of gas fees paid. 

Each transaction on the blockchain is given a transaction ID (TXID) or transaction hash which identifies the specific transaction (similar to a person's identity number). It looks something like this: 

0x3349ea4144aed83291f87b3904b02f8f1e76c3b5bfed0d95a000fafddaed01bc

In order to get the real-time updates on a transaction, you will need to enter this TXID into the space provided on the Etherscan website. 

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It will then display all the information pertaining to this transaction, as below:

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See our breakdown of the terminology below.

Etherscan terminology

Transaction Hash: the TXID associated with your particular transaction.

Status: status of your transaction (in progress, failed, successful) 

Block: the number of the block that your transaction was included in (block confirmations indicate the number of blocks that have followed since then). 

Timestamp: the date and time that this transaction was executed.

From: the wallet address that the transaction was sent from

To: the wallet address or smart contract receiving the transaction.

Value: the value of the transaction.

Transaction Fee: the gas fees or transaction fees paid.

Gas Price: the cost per unit of gas at the time of the transaction execution (displayed in Ether and Gwei).

How to Find gas prices on Etherscan

When using the Ethereum network you will be required to pay gas fees in order to conduct any activity. Gas fees are assigned to blocks and fluctuate depending on how busy the network is at the time. 

Etherscan provides a Gas Tracker which observes the current gas prices and indicates how busy the network is at the time. 

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In conclusion

Etherscan is a great tool for anyone using Ethereum or any other cryptocurrencies relating to its ecosystem. From confirming transactions to checking gas prices, this tool provides a great oversight of the network, highlighting the transparent benefits of using digital assets.

When Satoshi Nakamoto created Bitcoin, they designed it in such a way that should the value increase dramatically, there would still be an inclusive decimal value for the masses. Satoshis could one day be how we buy a cup of coffee anywhere in the world, using the same currency from Britain to Japan.

How many Satoshis are in a Bitcoin?

Much like fiat currencies, cryptocurrencies can be divided into smaller units. While the US dollar and Euro has cents as its smallest denomination, Bitcoin has satoshis (also referred to as SATs). But unlike cents, satoshis are 100 millionth of a Bitcoin, meaning that Bitcoin can be divided into 100 million units, that's eighteen decimal places. 

See the table below illustrating the various values of Bitcoin vs satoshis.

How many Satoshis are in a Bitcoin, exactly?

1 Satoshi 0.00000001 Bitcoin
10 Satoshi 0.00000010 Bitcoin
100 Satoshi 0.00000100 Bitcoin
1,000 Satoshi 0.00001000 Bitcoin
10,000 Satoshi 0.00010000 Bitcoin
100,000 Satoshi 0.00100000 Bitcoin
1,000,000 Satoshi 0.01000000 Bitcoin
10,000,000 Satoshi 0.10000000 Bitcoin
100,000,000 Satoshi 1.00000000 Bitcoin

As defined by the technology, only 21 million Bitcoin will ever exist, meaning that there will only ever be 210,000,000,000,000 satoshis. That's a tough figure to wrap your head around. As indicated above the link between satoshis and Bitcoin is several decimal places, certainly not calculations we were taught in school. A less complicated notion to digest is that satoshis were named after Bitcoin's creator, Satoshi Nakamoto.  

Bitcoin measurement units

The creator of the peer-to-peer digital currency outlined in the Bitcoin white paper the decimal places that Bitcoin is divisible by. Throughout the whitepaper, they only referred to two measurement units, Bitcoin itself and satoshis. Several years down the line as the BTC price continued increasing, market research and various discussions resulted in the decision that more measurement units were required.

Five years after Satoshi Nakamoto disappeared from online forums, a universal ISO update was released that recognised two new Bitcoin measurements. 

• MicroBitcoin (μBTC) 

1 BTC = 1,000,000 MicroBitcoins (μBTC) = 100 SATs

• MilliBitcoin X (mBTC)

1 BTC = 1,000 MilliBitcoins (mBTC) = 100,000 SATs

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When taking a glance at your Bitcoin wallet you can choose to see satoshis, microBitcoins or miliBitcoins. By any account, it will likely take a few years before we're referring to buying goods in SATs.

How to calculate SATs

As we've already established in the information provided above, 1 BTC is worth 100,000,000 SATs. While one could do the maths, there are plenty of tools available online that can do the sums for you. Better yet, as satoshis are recognised as universal units of value, you can change the currency setting on several sites.

For instance, on Coin Market Cap, you can change the default currency to SATs by selecting the currency drop down option in the top right-hand corner. Select the Satoshi option under Bitcoin units.

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This will then display all values as satoshis. 

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Alternatively, you can use one of the many satoshi calculators available online, which will instantly convert your currency value into SATs. In the future when using SATs as a form of payment, the value owed will likely be presented to you in the same form, allowing for a much easier consumer experience.

‍Key Takeaways

SATs are used by the Bitcoin network and crypto exchanges. Miners on the Bitcoin blockchain use SATs to determine the fee owned to them for transactions validated, while some exchanges use SATs to measure altcoin's value and performance against Bitcoin.

It is likely if in the future Bitcoin is fully integrated into our financial systems that prices in shops and supermarkets will be reflected as a value in SATs as opposed to BTC.

Before you invest in any crypto projects or assets, the golden rule is to always do your own research (DYOR). Hearing about a new coin from your neighbor or cousin's friend on Facebook is great, but it still requires a sizable chunk of your own research. Before you part ways with your money in the crypto space ensure that you've weighed up both the risks and the potential, the responsibility lies with you.

Crypto investing has a track record of being volatile, so the more clued up you are on the crypto assets you invest in, the better. While market data and fundamental analysis are important, be sure to understand the basics of a project and the project's potential.

What is DYOR (do your own research) in the crypto space?

The holy grail of investing in crypto projects, DYOR has become a common abbreviation for do your own research. The phrase is used to remind crypto investors that they should conduct their own research on a crypto project thoroughly before investing any money in it.

Whether you're looking to buy crypto assets, tokens, NFTs, or in any way get involved with a crypto project, be sure to thoroughly investigate the following factors mentioned below when doing your own research. Don't be lured in by a project's fundamental analysis, ensure that you understand everything there is to know about the project. Crypto investing can have devastating consequences for uninformed investors.

The 4 dimensions of how to DYOR on a crypto project

Below we will outline the four main dimensions of conducting your own research on a new cryptocurrency. These four pillars will give crypto traders a solid understanding of what the project represents, how it's been received, and what might happen in the future. Be sure to do this before looking at any technical analysis.

Remember, doing your own research requires reading multiple sources and verifying that the information is correct. When conducting your own research you mind find some disputing information, continue looking until you have the accurate answer.

Team

First and foremost, who is the team running this project? This information is typically presented on the platform's website or in its whitepaper (it's imperative that a project has both of these).

Take a look at the size of the project team, a small team might fall apart if one of the three members leaves while an excessively large team might be a red flag if it is still in its early days.

Check the experience of the leaders on the team. Ideally, you want leaders and executives to have experience in blockchain, Web3, finance, business, computer science, or any other related fields. Also, consider whether their current titles match their experience.

Are the team entirely anonymous? This is considered a red flag as the potential for them to execute an exit run is high. Consider the leaders of the project carefully and decide whether they have the means to steer this ship in the right direction.

Tokenomics

Tokenomics refers to the factors related to the supply and demand of a coin or token. The term merges "token" and "economics" and provides a key area of study for potential investors when establishing a coin's long-term viability. Below are the main aspects of tokenomics:

• Token supply: what is the maximum supply of coins or tokens?
• Token utility: what is the purpose of the coin (does it have governance rights, does it serve a specific function)?
• Market cap: How does the coin's market cap compare to that of its competitors?
• Issuance tactics: does the project intend on conducting token burns or any related activities?
• Minting, allocation, and distribution: how are the coins minted (all at once, gradually), when launched how are the tokens distributed, do a small number of members hold a large amount, are any coins locked up that will be released to the market on a specific date?
• Trading volumes and liquidity: what kind of volumes does this coin trade and how much liquidity does it have?

Innovation

For this pillar of the project, you want to look at what problem this project is solving, and what edge it has over its competitors. It's also worth taking a look at the project's road map and whether it is delivering on its self-set milestones. No roadmap is a red flag, well-managed projects are transparent and eager to release their milestone accomplishments.

Ideally, you want to establish what solution this project is bringing to the greater industry and what competitive advantage this project holds over similar projects. Consider its weaknesses.

If you want to take things one step further, consider what the team might not be telling you, and what elements could work against the growth and success of the project.

Social

This might not seem essential, but social media platforms can offer significant insights into the project's community, achievements, and current state within the crypto space.

When conducting your crypto research check whether the project has active official social media channels, and how often these are updated.

Secondly, how big is their community both in terms of followers and engagement? Are people engaging with the platform or talking about it on their own channels? Community members can shed a big light on how the project has been received.

Lastly, what kind of discussions are being had within the community of these groups? Are people friendly and inviting, or are they blindly promoting the project and pushing "lambo" sentiments? Ideally, you want to have a space where open and honest discussions can be had and constructive criticism accepted.

Toxic communities along with shillers and abandoned channels are all red flags.

The bottom line for DYOR and crypto projects

Establishing these four dimensions of a project is important prior to investing any money. Not only does it give you the opportunity to learn about a new project, but also to become better acquainted with what is happening in the crypto space.

Through the process of conducting your own research, you might discover a viable gem or even gain access to exclusive airdrops as an early supporter. Bear markets are a great time for diving into DYOR explorations.

Whether you're new to investments or you've been active in the markets for years, it's never too late (or early) to get your head around the different types of investment opportunities available. As we know, one size never fits all, so in this piece we're going to run you through the options out there and help you to determine which category will best suit your needs. 

The 3 tiers of investments

First and foremost, when diving into the world of investing one must first determine their risk tolerance. How much risk you are willing to engage in will help you establish which investment avenue to go down. The three options are:

1. Low-risk 

These types of investors are not looking to take risks with their capital. The primary goal is to preserve the initial investment despite the opportunity to gain returns. This is a great start for new investors as the risk is minimal while they learn the ropes. 

A great investment option here is a money market fund. The funds are typically managed by professional, licensed fund managers, and involve bank deposits, commercial papers and treasury bills. While the risk is low, the potential for returns is moderate and the investment is liquid, meaning that the investor typically have access to the funds at any time. 

2. Medium-risk 

Providing an option for the more confident investor, medium-risk investments incorporate moderate risks but have measures in place to stop any high losses. This strategy is often made up of low-risk and high-risk investments, ensuring a balance between the two components. 

Medium-risk options include a mix of mutual funds and dollar funds, which will invest in medium-risk stocks, bonds and treasury bills. The risk of losing capital is therefore lower than with high-risk investments while your potential for returns are higher than low-risk investment options. 

3. High-risk 

This category is for the investors with an appetite for risk. They're comfortable with losing their invested capital in the pursuit of higher gains. A huge note here is that Ponzi schemes are never good investments. Rather stick to professionally managed investment funds that are catered to those with a high-risk threshold. 

These might include equity mutual funds that invest in stocks of vetted companies with large public listings. These are best catered to long-term timelines, as volatility might hinder the returns in a shorter space of time. High-risk investments have the potential to bring about higher returns, however this is never a guarantee. 
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How to distinguish what type of investor you are

While a professional financial advisor can do this for you, we've created a three step, simple way to determine whether you fit into the conservative investor (low-risk), moderate investor (medium-risk) or aggressive investor (high-risk) category. Consider these three factors below:

• what is your age?

If you're younger, there are more years ahead of you to recover from a bad investment. As a result, each passing birthday slightly lowers your risk tolerance.

• what is your marital status?

As a general rule of thumb being married incurs more expenses and allows for less risk taking when compared to a single person with no-one else to be responsible for. With fewer financial responsibilities comes a high opportunity for risk-taking. 

• what is your net-worth?

Last but not least, your net-worth will also impact your appetite for risk. The more money you have, the more you can risk to make that money grow (and the bigger the cushion if an investment does go south). 
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In conclusion‍

It's important to remember that one investor type is not better than another, rather, it is what's best suited to your needs and requirements. The longer you leave these investments the higher the returns, so be sure to have a solid savings account built up prior to investing to ensure that should something go wrong you have alternative sources of funds to support that. Liquidating your investment early might lead to losses and most certainly lost opportunity. 

We are delighted to announce the listing and support of Gnosis (GNO) on Tap!

GNO is now available for trading on the Tap mobile app. You can now Buy, Sell, Trade or hold GNO for any of the other asset supported on the platform without any pair boundaries. Tap is pair agnostic, meaning you can trade any asset for any other asset without having to worries if a "trading pair" is available.

We believe supporting GNO will provide value to our users. We are looking forward to continue supporting new crypto projects with the aim of providing access to financial power and freedom for all.

Gnosis is a prediction market platform built on the Ethereum blockchain. The platform allows users to trade crypto assets representing event outcomes from around the world, from sports matches to elections. As the results unfold, Gnosis tokens either increase or decrease in value depending on what was predicted by the user.

Gnosis' native cryptocurrency is GNO, an Ethereum-based token (ERC-20) was sold during the Gnosis ICO. GNO tokens have a maximum supply of 3 million tokens.  The main use case of GNO tokens is for creating OWL tokens via staking to earn rewards. Users can lock GNO tokens in the Gnosis chain to generate OWL tokens through staking, which is dependent on the length of the staking period. The max time is one year.

Get to know more about Gnosis (GNO) in our dedicated article here.