10 Common Mistakes Beginner Cryptocurrency Traders Do

[btcdie]

the most prominent mistakes beginners are too rushed to expect great things without thinking about the risk in the future. also the lack of knowledge is one of the factors that beginners lose in trading. in my opinion before stepping / making a decision you should understand the field of cryptocurrency first. patience, the breadth of knowledge and psychologists ourselves is my main priority in trading.

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[Zeke_23]

the most prominent mistakes beginners are too rushed to expect great things without thinking about the risk in the future. also the lack of knowledge is one of the factors that beginners lose in trading. in my opinion before stepping / making a decision you should understand the field of cryptocurrency first. patience, the breadth of knowledge and psychologists ourselves is my main priority in trading.

Most of them are taking every decision in a rush. They have high expectation and this leads to panic selling when their expectation has not been met. They can't resist seeing the market to fall. Due to a lack of experience, they made a mistake without noticing their own actions in trading.

[xiboothrezi]

Common mistakes that are very fatal if not managed properly. The main cause of new traders is not well-studied cryptocurrency ecosystem, so they are very easy to be affected by FOMO, FUD, and drifting. Mostly because they want instant and fast profits, even though it's not that easy, if you have to get the maximum profit, you have to do technical or fundamental analysis.
Besides the ten points discussed in the article, there is one more mistake that traders often make: too greedy. Usually, this happens to daily traders. The case that often happens is when you have taken profit, but see an opportunity to rise from the chart, then enter the market again, it turns out it was the price at the peak, and surely you then know what happened.
Remember, a goal without a plan is just a wish. So we must determine the target with a mature strategy, we must be able to manage emotions and mentality in trading

[Ejanend]

Common mistakes that are very fatal if not managed properly. The main cause of new traders is not well-studied cryptocurrency ecosystem, so they are very easy to be affected by FOMO, FUD, and drifting. Mostly because they want instant and fast profits, even though it's not that easy, if you have to get the maximum profit, you have to do technical or fundamental analysis.
Besides the ten points discussed in the article, there is one more mistake that traders often make: too greedy. Usually, this happens to daily traders. The case that often happens is when you have taken profit, but see an opportunity to rise from the chart, then enter the market again, it turns out it was the price at the peak, and surely you then know what happened.
Remember, a goal without a plan is just a wish. So we must determine the target with a mature strategy, we must be able to manage emotions and mentality in trading

For newcomers, it is best to gain some good knowledge of crypto currencies as a whole and specifically the coin that they plan to invest in. In a volatile environment of digital market, one cannot survive without having fundamental understanding of it. Only those people who lack this ability get affected by FUDs and FOMOs. They also fail to prevent themselves from scams.

[djsugar]

The major reason behind new people joining cryto is quick profits. Because of which they don't take adequate measures when it comes to hedging risk or minimizing it. They don't understand the importance of the stop loss in this highly volatile market. Cutting losses is equally important as making profits. New traders usually ignore this fact. One more thing that new traders overlook is that the market is ot regulated and hence highly manipulative. Hence, they become the victim.

[dataispower]

Well!! Did you know?

Trading crypto is one of the risky thing as a lot of people starts trading without the knowledge of cryptocurrency market.
As a crypto beginner trading crypto safely is one of the best idea ever.

What's your take on this?

In my opinion, the common mistakes beginner crypto traders make include; 
1. applying greed while trading by not taking profit when necessary.
2. Some don't even use stop loss. Not using stop loss imply you don't have limit to risk taking. A proper risk management strategy is required to be successful trader.
3. Buying coins because you think they are cheap. Some coins are already abandoned by the team, so before saying "this coin is cheap and that's why I'm buying in" you have to be sure the project is not dead.
4. Following buy calls from pump groups. This kills new traders faster than poison. Do not rely on any pump group especially on telegram, you will get rekt. Try as much as possible to understand technical analysis.

I have a lot to say but let me put a full stop here. Ciao

[Sendi blackspade team]

for a new trader that I experienced myself was a mistake to quickly feel satisfied with the results obtained. with a small increase that occurs quickly selling assets and then feeling sorry when the price reaches more expensive than the selling price, we have done. then feeling greedy, which is waiting until the profits obtained become larger and continue to be like that regardless of market conditions. it can produce the maximum profit that should be obtained instead becomes a small profit because it is not aware of market movements that began to fall.

[Bim abk]

for a new trader that I experienced myself was a mistake to quickly feel satisfied with the results obtained. with a small increase that occurs quickly selling assets and then feeling sorry when the price reaches more expensive than the selling price, we have done. then feeling greedy, which is waiting until the profits obtained become larger and continue to be like that regardless of market conditions. it can produce the maximum profit that should be obtained instead becomes a small profit because it is not aware of market movements that began to fall.

I used to feel the same thing but for now, big or small profits I will still feel satisfied because the most important is the velocity of money used as trading. so I personally prefer to use certain moments on the coin to get profits and fees or small profits when trading I think it is a relative thing

[Wysi]

for a new trader that I experienced myself was a mistake to quickly feel satisfied with the results obtained. with a small increase that occurs quickly selling assets and then feeling sorry when the price reaches more expensive than the selling price, we have done. then feeling greedy, which is waiting until the profits obtained become larger and continue to be like that regardless of market conditions. it can produce the maximum profit that should be obtained instead becomes a small profit because it is not aware of market movements that began to fall.

I used to feel the same thing but for now, big or small profits I will still feel satisfied because the most important is the velocity of money used as trading. so I personally prefer to use certain moments on the coin to get profits and fees or small profits when trading I think it is a relative thing

Panic selling and buying at peak were the two mistakes I made initially as a beginner without realizing the bigger picture of the market and I still regret those mistakes but I have learn from it.  I have seen newbies investing when the price is at peak assuming it will go high as many people have bought bitcoin when it was over $20k.

[SquallLeonhart]

Well!! Did you know?

Trading crypto is one of the risky thing as a lot of people starts trading without the knowledge of cryptocurrency market.
As a crypto beginner trading crypto safely is one of the best idea ever.

What's your take on this?

Actually, I don’t think that there is anyone that can even know what to do without even knowing at least what cryptocurrency trading is all about, so it is not like they don’t have the knowledge at all, but I think having quality and enough knowledge before jumping into it has been the problems of beginners and why they fail in their first trading experience.

I think that some of them are quite so greedy also that they don’t want to learn to take little profit because they feel when it comes to trading, it is something that you can start making very fast and large money which is why you could see someone who is a newbie, that has not traded for so long, trying to go into leveraging, which eventually makes them fall as victim of fud, and some of the things listed in this article.

[malikusama]

Well!! Did you know?

Trading crypto is one of the risky thing as a lot of people starts trading without the knowledge of cryptocurrency market.
As a crypto beginner trading crypto safely is one of the best idea ever.

What's your take on this?

Lack of marketing knowledge is the top most reason for loss in trading, but another important and basic thing that beginners lack while trading is patience.
FOMO and FUD etc. caused by impatience only. Dreams of getting rich within few days can ruin the trading ability of a user, mostly beginners do the same and thus ends up losing all their investment.

[OlegK41]

I know the basic mistakes of novice traders. 1. You need to buy at the fall, and sell during growth, and not vice versa. 2. It is not necessary to rely completely on the forecasts of analysts, because they are often mistaken.

[jets567]

Maybe the number three of the article isn't quite applicable for most of the time, OP. I don't see a lot of people posting their advices inside social media unless it's like an investment scam that they post with their own referral link. Probably #7 is what applies the most for this, OP. It wraps up all these mistakes that beginners do, which is getting into crypto trading blindly.

I think what OP meant for #3 on the article is that some newbie trader is following the hype from social media, for example a so called expert or popular person made a call on his/her social media to buy a particular coin saying that it will give high rewards after this big development or blah blah blah then the trader saw the post and buy the coin without doing any research about the coin.

[LouVandetta]

I think the most common mistake has to be traders picking a coin to trade without proper research, them picking a coin just because it's suggested by some influencer they think he/she has a say about what happens in the trading business. Another mistake has to do with lack of planning on money management.

That's how I used to be back in the days when I was such a newbie in cryptocurrency, not that I'm an expert now. At least I know what I need to do, what to avoid, how to think through everything calmly, then take action. I always knew that trading aint an easy matter, but still I was too careless sometime. Not to mention I started off without a single knowledge about cryptocurrency world. As the saying goes, experience is the best teacher.

[kapalmabur]

I think the most common mistake has to be traders picking a coin to trade without proper research, them picking a coin just because it's suggested by some influencer they think he/she has a say about what happens in the trading business. Another mistake has to do with lack of planning on money management.

That's how I used to be back in the days when I was such a newbie in cryptocurrency, not that I'm an expert now. At least I know what I need to do, what to avoid, how to think through everything calmly, then take action. I always knew that trading aint an easy matter, but still I was too careless sometime. Not to mention I started off without a single knowledge about cryptocurrency world. As the saying goes, experience is the best teacher.

some people have valuable experience because 2017 has good results and ends badly! In cryptocurrencies we can't just play 1-2 times, if you trade, if you don't be patient and sell assets when going down it's a big mistake, It is indeed like gambling, but it will be much different if you look at it from the right perspective

[justdimin]

Trading crypto is one of the risky thing as a lot of people starts trading without the knowledge of cryptocurrency market.
As a crypto beginner trading crypto safely is one of the best idea ever.

I don't think anyone should be doing something they have no knowledge about. Before you start any kind of business you should study. Starting a business you don't have a clue about is just a waste of time as you will just be gambling with your money and before you realize what's happening you've failed! So it's best to take time out and study trading and know everything about it before you start.

Learning trading is not easy, it took me a lot of time and even now there are still a lot of things I'm yet to learn. Another thing you have to know is that there is no guarantee that what you will make is profit, the risks will always be there, but you can minimize the losses. You just have to work really hard and be good.

The major reason behind new people joining cryto is quick profits.

Yes you're right about that: I have seen a lot of newbies and they join because of the stories they heard of old investors that made it and they feel that Bitcoin is a means for quick profits online, forgetting to look into the risk side of it. They only start to realize it when it's already late.

It's good that anyone that wants to start trading should take their time and learn how to trade and also learn about cryptocurrencies.

[TanakabZX]

To gain experience always come with a price, trading is not an easy thing and for every first time traders loses will always occur, no one can escape that, to gain experience or create your own strategy you have to go through trading from scratch and learn from mistakes made time to time

[airdnasxela]

It's normal for beginners to make mistakes especially when trading since they're still lacking of knowledge about crypto. And since it's normal, it'll help them to learn with their mistakes and to avoid doing the same thing. But I'm not saying they should experienced it. Try your best not to experience it but if you have already experienced it, just learn from your mistake. We were also once a beginner and experienced at least one of these mistakes but time will make us better. For beginners, just continue exploring crypto and you will learn a lot from it.

[kaconk]

trading without doing research, predict and learn what the asset/coin you entered on the market is same as like gamble. this is a lot of problem and happened to beginners so they can lose their money. even so, experienced traders can lose their money, still can make mistakes. the most difficult thing is how we control our emotions.

[taufik123]

trading without doing research, predict and learn what the asset/coin you entered on the market is same as like gamble. this is a lot of problem and happened to beginners so they can lose their money. even so, experienced traders can lose their money, still can make mistakes. the most difficult thing is how we control our emotions.

True, emotions become the main thing related to our mental psychic when trading. Trading does not only rely on technical and fundamental, but peace of mind in order to make decisions properly and correctly. Capital management is also important, the capital you have is not 100% used to enter the stock exchange, but about 40% of the capital must be reserved for emergencies such as wrong predictions and reversing market trends.