7 Profit Paths for Professional Players in a Downward Market

Written by: CyrilXBT

Compiled by: Saoirse, Foresight News

When the market crashes, most people will only do one of the following two things:

Panic selling, then completely exiting the market;

Gambling everything and leveraging, trying to “win the money back.”

However, the approach of professionals is completely different. They shift from “directional speculation” to “replicable cash flow and advantage building.”

Here are 7 strategies that can help you profit in a down market without the need to accurately time the bottom.

Strategy 1: Let the assets you truly want to hold generate returns.

If you are ultimately going to hold Bitcoin, Ethereum, or other top mainstream cryptocurrencies, you might as well let these assets “work for you.”

Earn profits in the following ways:

Staking / Liquidity Staking

Blue-chip DeFi lending (such as Aave, Compound and other platforms)

Transparent Terms CEX Yield Products

Why is it effective in a market crash?

As long as you are willing to hold the underlying asset, volatility will not cause you substantial harm.

You can earn profits through “waiting” instead of emotional trading on every K-line wick.

How to operate cleverly?

Stick to choosing “top assets + top protocols.”

Avoid suspicious tokens that promise double or triple-digit annual percentage yields (APY).

Treat the earnings as “extra rewards” rather than the core reason for holding the asset.

The mindset of a professional is: “No matter what, I will hold onto it; the gains are just there to offset the pain of the market downturn.”

Strategy 2: Points and Airdrop Farming (Operation Method for Experienced Players)

In the current market, profitable Farming players do not randomly click on chaotic projects; their goals are highly targeted.

Earn points, scores, experience points (XP), and other non-token rewards from protocols that meet the following criteria:

It is possible to issue tokens;

There are already practical application scenarios and financial support;

Favor long-term active users rather than one-time “check-in” visitors.

Why is it effective in a market downturn?

Even if the price drops, the protocol still requires user participation.

Most people stop paying attention to the market, leading to a significant decrease in competitive pressure.

A substantial airdrop profit may exceed the total profit of several months of small trades.

How to operate cleverly?

Focus on “infrastructure and core DeFi fields” (such as Layer2, perpetual contracts, cross-chain bridges, re-staking, wallets, etc.).

Invest a small but consistent amount of effort: stick to completing the same tasks every week.

Use a simple table to record the projects you are Farming and the reasons.

Professionals view airdrops as a “stable income channel” rather than a “lottery ticket.”

Strategy 3: Request for Quotation (RFQ) / Arbitrage: Profit from Market Inefficiencies

If you are just capturing pricing discrepancies, there is no need to predict market direction.

Arbitrage: Buy low on one platform and sell high on another platform.

Request for Quotation (RFQ): Execute large over-the-counter (OTC) orders with a certain spread.

This strategy includes both simple “CEX and DEX pricing deviation arbitrage” and more complex “cross-exchange arbitrage.”

Why is it effective in a market crash?

Volatility = Frequent pricing errors.

Panic fluctuations can lead to temporary price discrepancies between different platforms and trading pairs.

How to operate (even with small-scale funds)?

Easy version: Track a few trading pairs on 2-3 mainstream CEXs and 1-2 DEXs, paying attention to the recurring price differences of 0.5%-1% that can be profited from with low fees.

Advanced version: Use bots or tools that can alert price differences, maintain reasonable trading volumes, and focus on “execution speed and fees.”

You don't need to guess whether it's “up or down” - you earn rewards by “narrowing the market price gap.”

Strategy 4: Provide Liquidity (Avoid Becoming a “Greater Fool”)

When liquidity providers (LPs) operate carelessly, they often incur huge losses; however, professionals view it as a “business”.

Provide liquidity for DEX liquidity pools, including:

Uniswap-style Automated Market Maker (AMM)

Concentrated liquidity (e.g., Uniswap V3 style)

Stablecoin trading pairs or highly correlated asset trading pairs

The earnings you can obtain include:

Transaction Fee

Sometimes you can also receive incentives like tokens / points.

Why is it effective in a market crash?

Even if the market crashes, people will still trade, and trading volume may even surge.

If you “strategically choose trading pairs,” the fee income can offset the losses from asset price declines.

How to operate to avoid liquidation?

Start with “stablecoin - stablecoin” or “highly correlated trading pairs” (such as ETH-stETH).

Only after understanding the “rebalancing mechanism” can you use a narrow liquidity range; otherwise, keep the operation simple.

Track the balance between “impermanent loss (IL)” and fees: If impermanent loss consistently exceeds fee income, adjust the strategy immediately.

Think like a market maker, not a gambler: “Is the reward I receive enough to cover the price risk I take?”

Strategy Five: Light Market Making for a Few Trading Pairs

You don't have to be a large market maker like Jump; just “systematic operation” will suffice.

Place buy and sell orders simultaneously around the current price to achieve:

Capture the spread of buy and sell points

Earn trading fees

Provide depth for the market

Operation methods include:

Manual operation (suitable for small accounts)

Use simple bot / grid bot

Focus on 1-3 trading pairs that you are very familiar with.

Why is it effective in a market downturn?

A market with high volatility and low trading activity means wider bid-ask spreads.

Whenever people chase prices due to “fear of missing out (FOMO)” or panic sell and “cross the price gap,” you can profit.

How to operate cleverly?

Choose “mainstream coins with ample liquidity” or large-cap tokens, and avoid “ghost coins” (tokens with extremely low trading volume).

Determine your “inventory range”: that is, the maximum quantity of a certain asset you are willing to hold.

No need for excessive complexity: as long as the range and scale are reasonable, even a basic grid strategy can be profitable.

This is not a game of “predicting candlesticks,” but rather the logic of “selling shovels in a gold rush.”

Strategy 6: Content Creation: Make money by having a clear mindset when others are in panic.

Attention has never disappeared; it has just shifted from “the Meme that will only rise” to “what should I do now?”

Create the following content:

Thread, newsletter, in-depth analysis;

Loom analysis video / YouTube short video;

Spaces voice live broadcast, podcast, niche field updates.

and monetize through the following ways:

Brand Sponsorship

Affiliate marketing link

Premium Membership Subscription

Consulting Service Order

How can one profit in a bearish market?

People urgently need “clear information” and “screening criteria.”

When market enthusiasm wanes, projects still need content dissemination (customer acquisition / brand exposure).

Your research is for yourself — the content is just to “amplify” this value.

How to operate cleverly?

Choose a niche (such as AI + crypto, Layer2, real asset tokenization RWA, perpetual contracts, re-staking, etc.).

Publish content at a fixed rhythm: for example, 2 tweets + 1 newsletter per week.

Focus on a “clear framework” and reject hype - this is your core distinction from “noisy content.”

In a bear market environment, “effective information” is more valuable than “emotional stimulation” - money will flow here.

Strategy Seven: Consulting Services and “Think Tank” Monthly Subscription Service

Once you can maintain a clear mind and express yourself well, people will pay to “gain your insights.”

Earn rewards through the following services:

Help the team develop narrative strategies, design token models, or go-to-market (GTM) plans;

Provide industry and project analysis recommendations for funds / OTC trading platforms;

Support founders in brand positioning, creating presentations (Deck), and planning community strategies.

Charging methods include:

Monthly service fee

Growth Dividend

Token Distribution / Consulting Agreement

Why is it effective in a market crash?

A high-quality team will not stop building due to market downturns.

When retail investors exit, the team will place more emphasis on “narrative, research, and strategy” (rather than mere speculation).

They are more willing to pay “industry practitioners who are deeply rooted in the market” rather than random agencies.

How to position oneself?

Use your content as a “portfolio of thoughts” (to prove your professional capabilities).

Clarify your core strengths (such as research, token economics, storytelling, business development, etc.).

Start with “a few high-value projects”: 1-2 quality clients are far better than 10 low-value clients that waste time.

You will transform from a “struggling trader” to an “industry participant paid by the bulls.”

The core thinking of professionals at this stage (global perspective)

When the market crashes, professionals do not:

Chasing every K line

Increase the leverage by three times

Pray for the appearance of the “miracle bottom”

They will tighten their strategies and consider the following questions:

How can I profit from “market activities” rather than just relying on price direction?

What skills can generate a compounding effect in the next cycle?

“How can I stop being a “greater fool” and become part of the “market infrastructure” instead?”

If you don't want to lose money like most people, choose 2-3 strategies from the 7 mentioned above, then:

Start with small-scale investments;

Systematic operation;

Persist for months, not just a few days.

This is how you survive in the current phase and “seize the opportunity” when the real trend comes in the next round.