When the market falls into extreme panic, what should we do?

Just look at the reactions of retail investors — they are all hoping for lower prices. It’s understandable to enter the market at 100,000, but now that it has dropped to 90,000, more people are hesitating. This phenomenon is indeed worth pondering.

I specifically looked at on-chain data. Although the price has been steadily declining over the past week, interestingly, the amount of BTC held by whale wallets has actually increased. What does this signal? Honestly, I’ve been thinking about it too.

Consider this logical chain — at 100,000, people look at 95,000; when it reaches 95,000, they look at 92,000; after dropping to 92,000, they hope for 88,000; finally, 88,000 becomes the new starting point, and they start expecting 85,000. If you keep waiting like this, it always feels like there’s a lower point ahead. But can you really wait that long?

The technical side gives an interesting signal. A hammer candlestick pattern appeared on the four-hour chart, combined with oversold RSI on the daily and weekly charts. At the 90,000 level, I reaffirmed the bullish logic. The problem is, no one has ever been able to see profits immediately at the bottom; all gains are gradually realized during the subsequent rebound. That middle process of being caught in a position is actually a test of your position management skills.