When market volatility spikes and fear spreads, your portfolio needs real protection—not just hope. As the VIX climbs and uncertainty creeps in, here's what actually works.

First, diversification isn't dead. Mix stable assets with growth positions. Stablecoins, low-correlation tokens, and traditional safe havens (bonds, gold proxies) can cushion the blow when crypto or stocks tank together.

Second, rebalancing matters. Fear makes people hold losers and chase winners—exact opposite of what works. Set target allocations. When markets panic, that's your signal to buy dips in quality assets, not sell them.

Third, risk management beats prediction. You'll never time the bottom. Use stop losses on speculative positions. Size your bets so one bad trade doesn't wreck you. This isn't boring—it's how you survive to trade another day.

Fourth, cash is optionality. When fear gauge rises, having dry powder lets you buy opportunities others panic-sell. Even 10-20% sitting idle gives you leverage when prices collapse.

Last, keep emotion out. Fear drives the herd into disaster. Stick to your system. The investors who thrive aren't the ones who predict the crash—they're the ones prepared for it.