What to do if you lose $2,000 in trading?

[Hemady17]

Losing your hard earned money on trading is one of the traumatic experiences that might happen to you.  This is usually happen when you are so bullish on the coins you are investing. Here are my thoughts on how to redeem you from this kind of experience.



1. Acknowledge that you did something wrong

            There are no other ways to start the process of redemption by accepting the fact that you made wrong decision. You need to accept that every once in a while we do poor judgment. It is important; when this thing happens to us we are ready to humble ourselves that we committed mistakes.

2.   Identify the problems

          a. Lack of experience – I was a successful trader in stock market winning mostly of my trade. But playing here as a day trader in crypto is something new. Your success in stock market doesn’t guarantee you success in BTC.

          b. Playing aggressive – Since I have too much ego in my head I put all my money in one coins only. I didn’t consider altcoins to hedge risk from BTC. There are altcoins who doesn’t affect much by this massive correction.

          c. Didn’t follow my trading plan – Foundation of trading practice is to follow the plan you have originally set. Your exit strategy is one of those important decisions you will made. It composes of selling and cut loss strategy.

3.   Courses of actions

          a. Never stop growing (learn the new market) – In every new things to we do it is very important to know our strength, weakness, opportunities, and threats (SWOT). Money is involved in every trade which make, which gives us reasons why we need to study the every aspects of cryptocurrency.

          b. Follow religiously your trading plan – There some trader who doesn’t have trading plan, in my case I have one which was not followed. Trading plan was based on your personal experience in trading. In time these plans was polished and test its effectiveness. If followed properly chances of success are increase.

          c. Never stop trading – If this single defeat dictates me to stop then the real loss will happen. These circumstances should ignite us to continue, make this experience to hungrier for success.

          d.Diversify your portfolio – Never do all in trade. These will gives you room for another alternative once the other coin doesn’t do well. Balance your portfolio composes of your well research coins.


After careful assessment of my situation, I believe that once a trader will always be a trader. I may lose sometimes but will rebound harder and stronger.


Remember merits are perishable if not use

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[Nellayar]

If you lose $2,000 worth of cryptocurrency, then there is a problem to you. Check first yourself if you have capability in trading because if you will continue what will you do, it may lead to total bankruptcy. Unless, you are a millionaire.
Trading is a risky way of earning, you may gain or lose money. If you will enter the world of trading, be wisely and knows every side wether dump or pump of the coins you hold.

[MV7]

If you lose $2,000 worth of cryptocurrency, then there is a problem to you. Check first yourself if you have capability in trading because if you will continue what will you do, it may lead to total bankruptcy. Unless, you are a millionaire.
Trading is a risky way of earning, you may gain or lose money. If you will enter the world of trading, be wisely and knows every side wether dump or pump of the coins you hold.

If you're taking major losses constantly, then yes, it is definitely time re-evaluate your trading habits.

However, a 2,000 loss often isn't that big of a deal. For example, I think most traders lost over 2k during the recent correction, but most of us still believe the prices will increase eventually.

[JL421]

Loss in bitcoin could always be avoided people complain when price reaches 20000$ and say bitcoin is useless now and it's costly but finally buy at 20000$ and finally the price falls to 7000$ imstead of holding they sell it at a loss and say bitcoin is going to be 0 and it's a scam
Finally those people are regretting today for their past decisions

[88jewel]

If you lose such amount, it may hurt your pocket but the beauty of it is learning... lesson learned, you will be more careful next time in trading. There is always time to rebound and gain more than what you lose the first time. 

[lucian999]

I think you need to stop such a job when you try again and lose a bigger time you need to keep the coin start at its low price.

[kolega]

I think trading without losses is impossible. The main thing is that the profit was much more losses.Trading is risk management. If you analyze your errors and correct in time, the losses will be much less.Loss of 2000 $ of course an unpleasant. But if you do not trade all the money, and divide them into parts, then this is not a loss of the entire budget

[bitcoinveda]

Most of the people are panic about the price when it is getting lower and lower in the market. In this case, people should hold the coins tightly in order safe them until the price of coin increases, but most of the people will sell their money for loses when it is at dipping.

[chickenado]

Most of the people are panic about the price when it is getting lower and lower in the market. In this case, people should hold the coins tightly in order safe them until the price of coin increases, but most of the people will sell their money for loses when it is at dipping.

I think we have to be temperate and moderatien about trading because not all of the time we can gain a profit on it, So then before we do trading we must know first that trading is also a risky type of gaining process, but  I think trading is really depend on the patience and trust. We must believe on our self if we do some action that includes capital because our fears may pull as down if we don't can't control it.

[zokilnmet]

First of all do not despair about it. Perceive it like the next life stage. Today you lost 2000$ tomorrow you will earn 10000$. It's a life, be optimistic in every situation.

[carlisle1]

If you lose $2,000 worth of cryptocurrency, then there is a problem to you. Check first yourself if you have capability in trading because if you will continue what will you do, it may lead to total bankruptcy. Unless, you are a millionaire.
Trading is a risky way of earning, you may gain or lose money. If you will enter the world of trading, be wisely and knows every side wether dump or pump of the coins you hold.

If you're taking major losses constantly, then yes, it is definitely time re-evaluate your trading habits.

However, a 2,000 loss often isn't that big of a deal. For example, I think most traders lost over 2k during the recent correction, but most of us still believe the prices will increase eventually.

if OP really valued the HARD EARNED MONEY why did he gambled that money in trading that HE DONT HAVE A KNOWLEDGE THAT BIG.we all know how trading is risky,and this is for those who are skilled and experienced to make trading that hard.so this is a role of foolish trader lol

[BitcoinHodler]

you chose a very strange title for your topic! and it does not reflect what you are saying in it either.
for example reading the title, i am thinking only person who can lose $2000 in trading is someone who is an absolute newbie who lost a lot in one or a couple of bad trades. like 80-90% loss. or someone who went in big like investing $100,000 and lost 2% of it. in each case your topic doesn't talk about either of these!

c. Never stop trading
d.Diversify your portfolio

i disagree with these two.
c. sometimes it is best to actually stop trading for many reasons. for example after you lose and realize market is too wild for you at that time, it is best to stop trading and get out of the market. for example a couple of weeks ago when bitcoin price broke below $10k and everything in altcoin market turned to shit, i simply cashed out back to bitcoin and stopped trading.
d. diversification is not really a good thing when you diversify into altcoins. you should instead diversify your money in other things such as gold,... (traditional assets) on top of bitcoin.

[Saidmod]

You have a good post dude and it will help most of the traders here. What i do is in the sense of the reason why loss. I find my mistakes and try to get back what i loss after getting back to the market its either investing in the same coin or i will look around for another with a good price to pump.

[nicolas1979]

Losing your hard earned money on trading is one of the traumatic experiences that might happen to you.  This is usually happen when you are so bullish on the coins you are investing. Here are my thoughts on how to redeem you from this kind of experience.



1. Acknowledge that you did something wrong

            There are no other ways to start the process of redemption by accepting the fact that you made wrong decision. You need to accept that every once in a while we do poor judgment. It is important; when this thing happens to us we are ready to humble ourselves that we committed mistakes.

2.   Identify the problems

          a. Lack of experience – I was a successful trader in stock market winning mostly of my trade. But playing here as a day trader in crypto is something new. Your success in stock market doesn’t guarantee you success in BTC.

          b. Playing aggressive – Since I have too much ego in my head I put all my money in one coins only. I didn’t consider altcoins to hedge risk from BTC. There are altcoins who doesn’t affect much by this massive correction.

          c. Didn’t follow my trading plan – Foundation of trading practice is to follow the plan you have originally set. Your exit strategy is one of those important decisions you will made. It composes of selling and cut loss strategy.

3.   Courses of actions

          a. Never stop growing (learn the new market) – In every new things to we do it is very important to know our strength, weakness, opportunities, and threats (SWOT). Money is involved in every trade which make, which gives us reasons why we need to study the every aspects of cryptocurrency.

          b. Follow religiously your trading plan – There some trader who doesn’t have trading plan, in my case I have one which was not followed. Trading plan was based on your personal experience in trading. In time these plans was polished and test its effectiveness. If followed properly chances of success are increase.

          c. Never stop trading – If this single defeat dictates me to stop then the real loss will happen. These circumstances should ignite us to continue, make this experience to hungrier for success.

          d.Diversify your portfolio – Never do all in trade. These will gives you room for another alternative once the other coin doesn’t do well. Balance your portfolio composes of your well research coins.


After careful assessment of my situation, I believe that once a trader will always be a trader. I may lose sometimes but will rebound harder and stronger.


Remember merits are perishable if not use

Every one has their own strategy to face and fix their method and we can do that anywhere and anytime. As long my experience, we can fix our strategy by not do the same mistakes and accept the result. Even lost $ 2.000 or more it doesn't matter as long we not do the same mistake next time. Trader/ investor mistake on real market mostly not because they don't have a good strategy but only can't control emotion and greedy.

[erickkyut]

How did you lose $2000 in trading? Did you sell your coins already? If you haven't sold it yet, you cannot considered it as losses. You will only lose once you sell your coins. If you see that your portfolio is in red and everything went down, just keep on holding your coins because it will eventually recover from those dumps.

[yohaneshs]

If you learn about risk and money management i think it will not happen because you know how much profit and how much maximum risks should be taken. Actually you can set stop loss or alarm to minimize loss. Sometimes we hear a bad news from some country and i think it's an alarm to close position quickly but if you think the effects not bad maybe you can hold and survive.

[practicaltexan]

you chose a very strange title for your topic! and it does not reflect what you are saying in it either.
for example reading the title, i am thinking only person who can lose $2000 in trading is someone who is an absolute newbie who lost a lot in one or a couple of bad trades. like 80-90% loss. or someone who went in big like investing $100,000 and lost 2% of it. in each case your topic doesn't talk about either of these!

I agree. 
I also think there is the market watcher who isn't selling because they are panicking.  They believe it will go lower and they can get back in.

I made that mistake a few times and beat myself up over it.  $150  and $300 respectively gone.  I turned potential loss into actual loss. 

However,  In this last correction I was averaging my position in so I was able to recoup it  later.

What I did.

Put 60% allocation into bitcoin at $9000.
Put 20 % allocation in bitcoin at $7000
Put 10% allocation at $6000

What I should have done.

Put 10% allocation at $9000

Put 20% allocation at $8001

Put 20% allocation at $7000

etc.


It cost me $300 to learn that.   The first $150.  Pure panic.  even though I had already taken out my initial investment and it was house money and not mine. 

But don't be a market watcher, do your research, learn from others, and set your orders and then live your life, checking in and keeping track of the news and the coins you want to know about.   

anyway.  my 2 sat.

[insculpt]

Crypto is very volatile and it's driven mostly by FOMO and FUD. These are very hard to predict and makes it a very risky way to earn money. If you are lucky enough to make the right decisions at the right time, you will make money, but if the opposite happens, losing a lot of money is very common. Crypto doesn't respect technical analysis, at least in my own opinion. I will never day trade crypto, I will always buy for long term because I have the worst of luck, but at least holding for long term does increase my chances of winning. Almost all my picks have gone south ever since I bought them, that made it clear that I can never be a day trader. I will always lose money if I do.

[@prashant]

You cant do nothing ,just dont blame your destiny and start earning over again to earn more.i have lost more than 10k$ when my pc unexpected crash i lost my wallet but i started over again it took some time to recover the loss through trading but i do not repent it.and if you are talking about trading loss that is not new,you some time earn unexpected more and lose great ,thats how market goes but do not sell potential coin due to recent profit fear ,holding coin is best choice as price will surely grow.

[krauzzer02]

Losing your hard earned money on trading is one of the traumatic experiences that might happen to you.  This is usually happen when you are so bullish on the coins you are investing. Here are my thoughts on how to redeem you from this kind of experience.

You should not spend your HARD earned money on trading, trade what you can afford to lose.

         b. Playing aggressive – Since I have too much ego in my head I put all my money in one coins only. I didn’t consider altcoins to hedge risk from BTC. There are altcoins who doesn’t affect much by this massive correction.

So what is the relationship between playing aggressive and putting all your hard earned money into one coin? it must be Playing with my ego or too much trust will kill you.

         c. Didn’t follow my trading plan – Foundation of trading practice is to follow the plan you have originally set. Your exit strategy is one of those important decisions you will made. It composes of selling and cut loss strategy.

Sometimes, things don't work according to your plans, cryptocurrency is a harsh environment full of surprises and unpredictable events which will lead you from abandoning the original plans or strategy.