Remember the sharp decline at the beginning of 2023, when Bitcoin plummeted to $15,000, and the entire market was filled with a sense of despair. In the midst of extreme uncertainty, I made a decision — to convert part of my funds into a certain type of decentralized over-collateralized stablecoin, which turned out to be like a rudder in a storm, allowing me to think calmly about the next step. Now, on the weekly chart, the RSI has once again shown that familiar extreme oversold signal, prompting me to re-examine the source of that "sense of security."

This is not about promoting a particular coin, but about some observations on "how to maintain rational decision-making during market upheavals."

**The True Value of Stablecoins**

The core logic of decentralized over-collateralized stablecoins is actually quite simple: maintaining a 1:1 peg to the US dollar through sufficient asset reserves (such as BTC, mainstream coins, etc.). The difference lies in transparency and risk resistance — during market crashes, although the reserve assets may shrink on paper, the over-collateralized design provides holders with a real safety cushion. From another perspective, these stablecoins act like insurance in extreme market conditions, effectively isolating price volatility and buying you precious decision-making time.

**Signals Behind the Data**

A careful look at on-chain data reveals an interesting phenomenon: when prices are extremely oversold (for example, weekly RSI approaching historical lows) but network activity is actually increasing, this often is not a sign of an ending but rather hints at a possible turning point. Historically, similar periods in 2019, 2020, and early 2023 have been the starting points of significant subsequent market moves. This doesn’t mean prices will simply repeat, but the rhythm of the market does tend to rhyme.

The key observation is: when short-term sentiment is extremely pessimistic but the fundamentals have not collapsed, holding some stable assets can actually be a rational choice — avoiding price risk while not missing the subsequent opportunity window entirely.