All the crypto-investors have learned that making profits isn’t as easy as it might appear. So, the question is what can we learn from the mistakes of others? When we look at the trading market, investors lose money rather than making profits. But, this isn’t always bound to happen! If you don’t learn and be smart in the crypto-market, all you’ll get is an F.
Sometimes investors have all the knowledge, information and experience they need, but it’s the investor’s inability to learn that brings them to their doom. No one is to blame but THEMSELVES! Most traders are silly enough to make the same mistakes over, and over, and over, and over. . . .
IT’S A VISCOUS CYCLE!
They don’t change their habits, don’t learn shi*t out of their mistakes and don’t know how to trade differently. So, how does it all go down? It’s actually a story with no happy ending!
Chapter 1: EXCITEMENT! ENTHUSIASM! EAGERNESS!
Just like any story, at the beginning there is all this optimism and excitement to invest in the crypto-market. Since, the prices rise day after day. The investor is enthusiastic about all the profits there will be and spends hell a lot time day dreaming about what he’ll do with all the new money. That’s where it all begins, my friends. Sometimes investors make the mistake of investing in the same crypto-currency in hopes for a bigger volume. BIG MISTAKE.But, when the prices fall lower and lower. They think it’s a local correction, when it really isn’t.
Chapter 2: Anxiety & Fear.
.They think it might be a “local correction.” The jokes on them! When the correction looks like it’s bigger they end up investing more and more to buy the same shares. The value keeps decreasing by the minute and they invest even more to lower their average buy price. They constantly give themselves false hope that the price won’t go any lower than it already is. But, guess what? It drops even further! So,all the capital they invested? BYE BYE!
Chapter 3: Panic.
Since, they’ve lost all their previous gains and a big chunk of their own capital (sometimes.) They turn into desperate and pessimistic beings. How surprising! (That’s just some plain old sarcasm.) You’ll hear them say “The moment the prices rise, I am going to sell everything!” But, that’s not how the market works. Prices don’t bounce back immediately! So, what now? They just sell everything without looking at the price just so they could recover some of the capital they’ve lost.
Chapter 4: Rock Bottom.
After the big loss, depression sets in. They sit and wonder what went wrong. How could they be so stupid? How could they lose all the money? While these investors wonder, the crypto prices fall further and further! They are tamping down the bear market rapidly. This is the point for the maximum investment opportunity! It’s the legendary bottom!
Chapter 5: Rewind!
The moment the prices hit the bottom, there is a new bull market born. Some investors would have stepped out of the game for good, but we’ll find more starting from chapter one. It’s an endless never ending cycle.
So, what did you learn from this story? Let us know in the comments below!