The Only Way to Beat Crypto Volatility

Over the weekend I got a call from a longtime friend. He’d been following some of the wild memecoin moves and was fascinated by it, he wanted to play around with it.

The $TRUMP and $MELANIA tokens had caught his attention in the week of President Trump’s inauguration. He’d then started following some ‘memecoin traders’ on social media, saw a few pump 300x in price and wanted in on the action.

I forewarned him, as I’ve forewarned you, the memecoin market is no playground for rookies. To his credit he knew how wild it was, he was curious and wanted to test, try and experiment.

And further to his credit, he wanted some help and guidance as to what to do and how to make sure he was following the right steps in the right order. At least to do his best not to lose all his dough.

Which meant, I invited him round for a one-on-one tutorial on connecting to and learning the ropes of the memecoin market.

Little did I know, that when he arrived, we’d be in the depths of an utter crypto market bloodbath…

Four Steps to Memecoin Trade

I heard him arrive because the gurgle of a Porsche 911 GTS is not a common sound. I say this because I want to point out that my friend is smart, wealthy and runs his own business.

Yet by his own admission, he’s only just starting to get into crypto. And it’s a stark reminder that smart, wealthy people are still only just starting to dip their toes into the crypto markets.

We are still very early in terms of widespread crypto adoption.

What’s also common is the fear and uncertainty as to what to do.

Yet here we were, his attention enthralled by memecoins. So, I ran him through what to do.

• Step 1: buy some Solana (SOL) through an account like Coinbase, Kraken or Crypto.com.

• Step 2: send the SOL to a wallet, like Phantom.

• Step 3: connect your wallet to a memecoin data site, like DEXTools or DEX Screener.

• Step 4: find the memecoin you want to trade, make sure (to the best of your ability) it’s not a scam token, and then trade SOL for that token.

DCA He Said. DCA I Said.

As we were going through this, he kept looking back at his Coinbase account. He asked why the big number showing the dollar value of his portfolio of the screen kept heading lower.

I had to explain to him that was because the price of Bitcoin kept heading lower. Oh boy, was it heading lower!

Over the next two hours Bitcoin’s price cratered from $98,000 to $92,000. Only a day prior it had been at $105,000.

The conversation quickly turned away from memecoins back to Bitcoin. As I let out a sigh of relief, he then asked, ‘what should I do?’

I said to him, ‘you’re a smart guy, you’ve invested in markets long enough, what’s the only way to beat volatility long term?’

DCA he said.

DCA I said.

DCA stands for dollar cost averaging.

It’s a long-term investment trick where you regularly invest in an asset over time, to minimise volatility. You don’t need to time the market when you DCA, you just need to stick to the plan.

To DCA means you can buy the dips, buy the bounce, you’re constantly buying and… smoothing out the volatility. That’s why a consistent strategy means price dips like we’re seeing right now are ok, it’s another buying opportunity at a discount.

As I explained to my friend, DCA is the only way, long term to invest in Bitcoin without going insane.

I see it as the only way to beat crypto volatility.

If you’re looking at the market today, wondering what to do as well, take the stress away from it all and just DCA.

Trust in crypto,
Adam Atlantic