How To Survive a Market Crash
- Rose @investholist.com
- Jun 4
- 4 min read
Financial markets, in particular cryptocurrency markets are highly volatile, and many participants can experience significant losses in a few minutes.
The emotional turmoil caused by these abrupt fluctuations can be difficult to manage at any level of experience, specially when external stress is compounded into the game.
Here are 3 important considerations to smoothen the path.
BREATHE!
When the news hit, our internal alarm system gets triggered releasing cortisol into our brains. Then, our pulse starts to increase together with our breathing.
Depending on each personality, we respond differently to this signals, could be sadness, anger, panic, anxiety, etc.
This is a biological response to perceived threat, our internal fight-or-flight system, and it can hijack our decision-making.
Step back. Pause. Breathe.
This resets your nervous system and puts you back in the driver’s seat of your mind and body. It's not just about calming down—it's about regaining access to your rational thinking before making any decisions.
ASSESSMENT
Once grounded, it’s time to move into assessment mode, not reaction mode.
Ask yourself:
🧠 What’s actually happening? Is this a market-wide dip, or a shift in fundamentals?
📉 What’s temporary and what’s structural? Is this fear-driven volatility or a long-term downtrend?
🧾 What are my goals and timeframes? Are you a trader or a long-term holder?
Zooming out on your trading charts—and your emotional response—can give you perspective. Crashes hurt more when we forget our bigger strategy.
And most importantly:
“Has anything fundamentally changed about the asset, or just the price?”
Sometimes, the best move is to do nothing until your clarity returns.
Re plan / Re organize
Once the initial shock has passed, it’s time to reorganize your mindset and portfolio. Adjust, Adapt.
Here are smart next steps:
🔄 Re-evaluate your risk tolerance — was it too high for your emotional bandwidth?
💼 Diversify — reduce exposure to highly volatile assets.
🧠 Educate yourself — crashes often highlight blind spots.
📆 Reframe your plan — don’t chase losses. Instead, adapt with intention.
And if the crash revealed deeper emotional or financial dependencies on success, it’s worth exploring that too. The healthiest investors are those who aren’t emotionally enslaved by their portfolio’s performance.
✨Get emotional help - It’s wise to ask for help in moments of crisis to better understand and manage your patterns in a healthy way.
Reconnect to Why You’re in It
Was it freedom? Was it innovation? Was it decentralization or future planning?
Crashes can wipe out not just money, but motivation. This is when reconnecting to your “why” becomes essential.
Maybe it’s time to:
Reflect on your values in investing
Create financial strategies that support mental and emotional balance
Volatility is a Teacher
Every crash teaches us something. Not just about the market—but about ourselves.
Overcoming a crash isn’t just about recovering financially. It’s about growing emotionally and psychologically and even spiritually as a sovereign being in a chaotic space.
In my case, I had a deep dive into the rabbits hole on:
the psychology of auto-sabotage, cognitive dissonance, like why did I doubled a position when I knew I had to close it?
all about holistic health, stress management, sleep disorders when leaving positions open overnight, and the 24/7 crypto market in long positions specially with risky assets (hmmmsht coins).
The tools of breath, clarity, and strategy are your emotional cold wallet—protecting your most valuable asset: your peace of mind.
A regulated nervous system is your stablecoin.
When your nervous system is balanced, you:
Make rational decisions instead of impulsive reactions
Respond from awareness, not shock or fear
Stay grounded in strategy, not survival
Protect your mental and emotional capital, not just financial
In contrast, an unregulated nervous system (often due to unresolved stress, trauma, or burnout) makes you vulnerable to FOMO, panic selling, revenge trading, over-leveraging, and addictive cycles that destroy wealth and peace of mind alike.
Your nervous system is the infrastructure that holds your internal currency—your focus, energy, and intention.
When it’s unregulated, it’s like putting all your assets in a meme coin at peak hype.
When it’s regulated, it behaves like a stablecoin backed by real value—your presence, patience, and purpose.
In holistic investing,
emotional regulation is a form of risk management.
Before checking charts in the morning, check your inner state:
Have you breathed deeply today?
Have you moved your body, grounded your energy?
Are you making decisions from wholeness or from fear?
Consider this daily ritual:
🧘♂️ Anchor your nervous system with a stretch before you anchor your trades.
💡 Check your emotional state before you check your portfolio.
This is how holistic investors move from reactivity to sovereignty—and it’s how you weather not only market crashes, but life’s inevitable storms.
Crypto Market May Be Decentralized, But You Need to Be Centered
The future is volatile. But if your mind is stable, your vision long, and your strategy values-centered, you don’t need to fear the rollercoaster.
You become the calm in the chaos, the regulated node in a decentralized system.
Emotional stability is the real asset class.
If you’re finding it difficult to regulate your inner world while navigating the turbulence of the crypto space (or life itself), you don’t have to do it alone. Here at Investholist® we offer personalized coaching sessions designed to help you cultivate emotional resilience, nervous system regulation, and strategic clarity or perhaps need an extra financial analysis, better or a different perspective.
So, whether you're recovering from a crash or preparing for your next big leap you can get assistance from someone who's been there. Together, we’ll build the inner infrastructure to match your ambitions, so you can trade, invest, and live from a place of wholeness & joy. 💻🧠✨
Ready to stabilize your inner economy?
Book a session now and start investing in your most powerful asset — you.
With love & Light,
