The Biggest Mistake for Investors during a Bear Market. "Smart Money buys an alt when it's Down against Bitcoin in a Bear Market"

Don't get me wrong. Yes most Cryptos will recover at least somewhat in a bull market. But that doesn't mean those tokens are going to be reaching new ATH's, or even giving you close to the amount of profit as buying Bitcoin/ETH.

Lets look at the once loved ALT, Nano. \Cough Cough** /u/NanoOverBTC \Cough Cough**. In 2018 Nano peaked around $30, and "it was definitely going to be the next big thing in Crypto" - I mean no fees and near instantaneous transactions, compared to high gas and 10 minute blocks on BTC - what's not to love? But the 2021 Bull Market Arrived and Nano only recovered about 40% of it's prior Bull Market High.

Nano from APR. 2017 to present

Now lets look at BTC, around $19K during the 2018 high and.... you know what's happened next...

BTC from APR. 2017 to present

Although it is technically true if you were a perfect trader and bought Nano at the absolute bottom and sold it at the absolute top you could have made more (27X) - compared to buying BTC at the bottom and selling BTC at the top (21X) over that same time frame - but it was significantly riskier. Lets face it, nobody here is a perfect trader. You probably would have continued to hold Nano at $12 waiting for it to get closer to it's former ATH of $30+ and failed to sell the top.

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You also have to acknowledge lots of people buying Alts in a bear are either averaging down or project believers and are less inclined to sell the top in the next Bull. But these projects almost always tend to lost value against Bitcoin over time. Meaning if you aren't a perfect trader - you're losing money holding your ALT compared to holding BTC over time.

^{ETH and it's giant ecosystem has cemented itself as a solid #2 and I would not consider it an ALT for the purpose of this conversation.}

^{This post is inspired by users who insist on doubling down on their Alts in a bear - in hopes of making "profit" in the next Bull.}