In my opinion when the market is down like right know Im not going to spend it my crypto unless using if for daily purposes like withdrawing the crypto for a monthly bill. the best time when the market is down is to accumulate more coin and token stake it and enjoy when the bullish month coming.
As long as we are able to meet our daily needs I think there is no reason to spend the assets we have.
I think it's quite naive if we really use it in the current conditions even though it's possible that someone's needs are different but I personally always try to hold it in as long as I can handle it with my finances, I will never spend it.
as you said, everyone has their own needs. we can't blame someone for selling some of his coins to pay for his food. but of course, if you have other means, much better. but think of other people and their priorities in life. we all have different needs. so long you think you are spending it on valuable matters, that's fine. but if you are just buying a luxury item, think about it. is it worth spending your crypto just to buy what you want, and not what you need?
We are required to survive in life and of course we also have to be aware that this is a choice when indeed we already have several options to continue to meet our needs why not, but indeed while we are able to hold onto our assets especially when the current price is in a poor condition well I guess it would be better to make another choice. If indeed we can't afford it and releasing our assets is the only way, then that might be an exception, but if we are still able, I don't think there is any reason for that, especially if the assets we have have good progress.
I think this is the real big problem, how can it become a real exchange currency if its owners hold it as if it were an asset? If you don't spend and move funds, it will inevitably take the place of any refuge property and this is not the right path.
We have to see whether the assets we have actually have great progress or not. If it really is about shitcoins then I don't think releasing them is not a problem but when it comes to altcoins like ETH or other coins or maybe bitcoin of course the option of releasing now is not a good thing.
We are in a risk zone where we have to accept all the consequences when investing and if you have decided on that, I think retreating in the middle of a crash is something that is not recommended.