5 Essential Tips to Prepare for a Crypto Bull Run

In this blog, I will share essential tips to help you prepare for a cryptocurrency bull run. During a bull run, prices can skyrocket rapidly, and emotions often run high. By staying logical and preparing in advance, you'll be better equipped to navigate the challenges and make smarter decisions.

1. Store Your Seed Phrase Offline at all Times 

In short and simple terms, your seed phrase is the key to access your crypto wallet when you want to recover it.

For example, let’s say you lose your hardware wallet. As long as you have the seed phrase, you can recover your wallet because your crypto is not inside the hardware wallet, it's on the blockchain! Your seed phrase is the bridge that connects you to your crypto on the blockchain.

Ledger,Keystone,CypherRock,Trezor Safe 3 and Trezor Safe 5 are all fantastic cold wallet options available in the market.

Don’t be stupid enough to store your seed phrase online or in any digital form. Always remember, anything online or in digital form is vulnerable to hacking. You might not even know until you see and find out that all your crypto is gone, and by then, it will be too late.

💡Pro Tip: Write down your seed phrase in the back of a book or two in a way that draws less attention. Use permanent ink. Keep your books in a safe place and memorize your seed phrase. Find an easy way to remember the correct flow and words.

Be creative and smart - consider encoding your seed phrase so even if someone finds it, they won’t be able to access your crypto without knowing the exact flow.

💡Quick Tip: If you want extra protection, buy a metal card to store your seed phrase. Metal cards or plates are resistant to fire, water, and physical damage, offering a durable way to safeguard your recovery phrase for long-term security.

2. Avoid Keeping Your Crypto on Centralized Exchanges

In a crypto bull run, prices are skyrocketing, making it the perfect time for hackers to target centralized exchanges, which hold massive amounts of user cryptocurrencies.

If a major hack occurs users will panic and try to get their crypto out of exchanges. This can lead to a freeze on withdrawals as liquidity issues arise within the exchange.

Another reason centralized exchanges cannot be fully trusted is their misuse of funds. For instance, FTX collapsed after mismanaging customer funds for risky trades, causing mass withdrawals and a liquidity crisis.

💡Pro Tip: Don’t store all your crypto in exchanges, you risk losing it all. For long-term holdings, use exchanges only to buy crypto and transfer it to hardware or cold wallets. Exchanges are ideal for keeping small amounts intended for short-term use. Be smart and protect your money!

3. Do Not Transfer Large Amounts of Crypto at once

In a bull run, it’s tempting to obtain profits quickly. While setting target price levels to sell your crypto is a good strategy, you should always double-check the public address when sending your crypto to exchanges to sell.

People are often careless and blinded by the thrill of taking profits in a bull run, so they don’t bother to double-check the public address they are sending their crypto to.

Guess what? If you fail to copy the entire address accurately, all your crypto will be sent to a different address, and you will never be able to recover it.

💡Pro Tip: Send a small amount of crypto to the exchange first and confirm that it has successfully deposited into your exchange’s public address. Then send the full amount. This might cost a bit more, but it’s worth it. 

💡Quick Tip: Do not forget to include the memo tag when sending crypto from your personal wallets to exchanges. Exchanges provide a memo tag in addition to the public address. This is how exchanges track funds of individuals.

4. Be a Verified User on Multiple Centralized Exchanges

This is a good strategy. Completing your KYC process on multiple exchanges is really important. During the peak of a bull market, exchanges experience a significant amount of new traffic, and as a result, the volume of transactions occurring on all the exchanges spikes.

When you complete your KYC requirements in advance and become a verified user on multiple exchanges, you have the advantage of doing your transactions smoothly and the ability to capitalize on market opportunities immediately.

As we mentioned earlier, exchanges can get hacked, right? So, doing transactions on multiple exchanges reduces the risk of being locked out of your funds in a single exchange!

💡Pro Tip: Do not rely on a single exchange; be verified on multiple exchanges.

5. Avoid FOMO (Fear Of Missing Out)

FOMO when crypto prices skyrocket in a bull run or in an altcoin season can lead inexperienced investors to buy assets at their peak, only to be at a loss when prices fall again to make a correction.

Remember that prices don't rise in a straight line; there will always be a buying opportunity when prices fall. This is because the investors who bought at lower prices will be selling at higher prices. And as long as there is a greater fool to buy at a higher price, the bull run will continue.

Just like all living beings have to exhale when they inhale and inhale when they exhale, financial markets breathe through pumps and dumps in asset prices.

The dumbest thing you can do in both trading and investing is letting your emotions take control of your decisions. You see the asset prices rising, and without a second thought, you just jump in to catch the wave. This is not a clever move.

💡Pro Tip: Buy in the red (when prices fall) and sell in the green (when prices rise).

Final Thoughts

A crypto bull run is a time for everyone to get financially rewarded, if you are prepared, you won't have to regret. Follow all my tips, so you are well prepared. Don't be greedy and don't be afraid, have a neutral mindset in this time period. 

Plan in advance at which prices you are going to sell and take profits, execute them exactly as you planned. Remember that you cannot control markets, but you can always control your actions. 

“Financial markets like crypto are not for emotional people. It is for those who lead with their head, not their heart, while those who lead with their heart often become the bait for the former.”

~BcCryptonian

Disclaimer: The contents of this article are for informational purposes only and are not financial advice. The views here are just the author’s opinions. The crypto market is volatile, so be sure to do your own research before investing.