5 mistakes every crypto trader should avoid

[Subbir]

Always avoid overtrading

This is something that I didn't had control on. When I started trading, I used to keep on checking the prices to see if I had made any profits. Whenever the price used to go low I would panic and start selling which eventually resulted in loss in most of my trades. This is why I left trading.

You are right that overtaking should be avoided in trading if there's not much in every case I too lost my money thanks to over trading but now i'm ready to move forward with education from there. Don't quit the business but avoid overtrading.

[JoMarrah Iarim Dan]

Starting to trade crypto can be a massive learning curve. Whether you’re an experienced trader or a newbie, crypto trading can seem hugely complicated and it’s super easy to mess up in the beginning. Luckily, there’s a lot of information out there that can help you become the crypto trader of your dreams. We’ve compiled a list of the 5 mistakes every crypto trader should avoid, so keep reading to learn the dos and don’ts of crypto trading in 2019.
Stop loss/take profit placement
Always avoid overtrading
Diversification
Putting too much money in too soon
FOMO
The key to trading crypto

Yes we already knew what we must avoid in trading to be able to earn. Now, I think we must knew what we must do to avoid it. I admit some of the 5 mistakes you've said is not easy to avoid. I really have a hard time to overcome FOMO. I know I am good at the second one you've mentioned but it is not enough to bw just good at one. With that I still commit mistakes.

[Gheka]

I also want to share my experience before when I started to trade. I really laughing when I remember those experiences. Most of the 5 mistakes indicated in the first post are I experienced.
And also not putting stop-loss before, like I am over confident on every my trades before, but lesson learned.

Every traders have mistakes we can not avoid that every one experienced that 5 mistakes but the good are once they experienced that in the next trade they know what they are doing. Traders need to experience that all so that in the next trading they know what they are doing to avoid it.

Agree, these mistakes are lessons of experience that strike at the weakest points of a trader, from capital management to overconfidence and greed without stopping, a trader who has felt and faced these experiences, the quality and success rate they will increase very high. For traders who are not clear with these concepts and experiences, their success will be very low because the first point I have always seen from new traders, they often overestimate themselves, the sense of pride and stubbornness is something that needs to be abraded by failures

[rexxarofmoknathal]

That's the thing with us, Humans we have the elementary awareness of what's good or bad and for some reason some of us still stride towards the bad thing.  Greed is one of them and I'm sure most of us on here, in a nonobjective scenario, know exactly what to do and what the rules are but yet most of us struggle to apply these rules.
Like, how many times have you said to yourself this is the last round but then you still found yourself still doing that thing whatever it was even after the 3rd round or so? Being disciplined is very hard, especially when you don't have anyone around you to stop it.

[wozzek23]

I also want to share my experience before when I started to trade. I really laughing when I remember those experiences. Most of the 5 mistakes indicated in the first post are I experienced.
And also not putting stop-loss before, like I am over confident on every my trades before, but lesson learned.

Every traders have mistakes we can not avoid that every one experienced that 5 mistakes but the good are once they experienced that in the next trade they know what they are doing. Traders need to experience that all so that in the next trading they know what they are doing to avoid it.

Trading is everything which depends on experience. Why are the most experienced traders the ones who are having major profits as compared to newbies? That is only because they have experience and can handle any situation carefully with their best strategies. This makes them have major profits and least loss. Newbies especially go for direct trading without thinking about what would happen if the market gets reversed which also does not make them prepare a plan b to exit the markets.

This also lands them in excess loss many times. At the initial stage, even the newbies should never think about the profit or loss but they should constantly keep on increasing their experience which would surely be a life saver for them in the nearly approaching future.

[bitgolden]

Starting to trade crypto can be a massive learning curve. Whether you’re an experienced trader or a newbie, crypto trading can seem hugely complicated and it’s super easy to mess up in the beginning. Luckily, there’s a lot of information out there that can help you become the crypto trader of your dreams. We’ve compiled a list of the 5 mistakes every crypto trader should avoid, so keep reading to learn the dos and don’ts of crypto trading in 2019.
Stop loss/take profit placement
Always avoid overtrading
Diversification
Putting too much money in too soon
FOMO
The key to trading crypto

Each of these points is actually necessary but I do not really think that people would follow this thread to start with their trading. I think that people can learn most from their experience. They would always keep on learning from the actual trades they perform. Like, at the first time, they would not set up a stop-loss which would make them have excess loss only because they price moved in the reversal direction much faster. They would than set up a stop-loss from the second order. The same would be followed for each of the 5 points you mention.

Newbies might just come to know about these precautions to be taken before starting to trade but they would not actually follow these until they personally feel need for those.

[hahay]

That's the thing with us, Humans we have the elementary awareness of what's good or bad and for some reason some of us still stride towards the bad thing.  Greed is one of them and I'm sure most of us on here, in a nonobjective scenario, know exactly what to do and what the rules are but yet most of us struggle to apply these rules.
Like, how many times have you said to yourself this is the last round but then you still found yourself still doing that thing whatever it was even after the 3rd round or so? Being disciplined is very hard, especially when you don't have anyone around you to stop it.

There is no need to rely on other people or people around you to change your bad habits, because it is useless if people around you do not have a high sense of caring to change your bad habits. So in this case, yourself, which basically will make you more disciplined by realizing all the risks because indeed, disciplined trading is very important and we should always have a high priority to remain disciplined in any situation, because with discipline at least you will can control emotions better and thus, greed will be avoided and always consider more mature every decision that will be made quickly.

[Meowth05]

Mostly FOMO was the reason why traders always failed because they can't handle too much emotion, eagerness to sell and buy coins at the wrong time especially the newbies. But I cannot blame them because even I, became a victim of my own emotions.

Now talking with Diversification, I think this one of the best ways to reduce the risk exposure of our investment but we must know where to place those investments of us not just on random coins across the market. Choose those coins that you think would be profitable or you could just go visit the CMC and pick the coins who placed at the top since they have the largest volume in the market.

[cryptoruby]

Start Small, Know when you are wrong and don't marry a Trade.

[ScamViruS]

Your all advices are correct. When I was new to trading I suffered a huge loss due to the FOMO buy many influencer  trapped me. I suffered this loss due to lack of proper guidelines. There are many traders who face huge loss because of fomo buy. And they couldn't use stoploss the right way. As a result, when the market goes down, they are loss continuously.

[KrisAlex18]

The most common reason why people get lost in trading is having a lack of knowledge about it, trading is not a simple thing, so if you don't have knowledge or skills about it then you should have not tried it because for sure you will lose your money.

Trading is not like investing, you have more chance to earn from investing because you can hold your money if the market is low, then withdraw it if the market goes high. That's it, investing is simple compared to trading, even you are a beginner you can still earn from investing, but if you are a beginner and don't have knowledge about trading then for sure you won't be able to earn from it.

You should have enough knowledge about different currencies or the currency that you are going to trade for you to earn from it. You may use the internet, this forum, etc. to learn things and basics about trading so you won't be able to lose your money.

[Saswyn]

Thank you for sharing such useful information. Her real to know.

[quarkfx]

Now that we’ve had a chance to take a look at the 5 mistakes every crypto trader should avoid, we have to ask ourselves: What exactly is the key to trading crypto?

That’s pretty simple: Patience. Don’t be afraid that you’re going to miss out on the next big thing. The crypto market is constantly growing and changing and there’s more than enough investment and trade to go around for everyone. Don’t invest in altcoins that you aren’t sure about, don’t give into FOMO, and don’t trade above your means.

The one thing that most beginner traders fail to understand is this. Sadly, saying it and truly understanding it are two different things since I also came from that time after all. One professor of mine in the past taught me this, since well, he was also pretty impatient.

until traders do mistake and they themselves wants to improve , no words can save them from making losses they have to understand all by themselves while trading live no words will come to mind , they will do this mistakes again and again , traders who think of improving by there own interest will improve in trading

[coinfinger]

Exactly true, the biggest teacher of all time is life, there is no teacher that can teach anything better than life can teach it to a person.

You can try to help people as much as possible but no one will learn it better than their own trading and learning. If someone tells you to put a stop loss and you do, you will not learn anything, you just did what you were told to do and you have an idea of why you did that but not a great grasp of why.

But, if you fail to listen and you do not put a stop loss, you will eventually lose money and that will cause you to actually learn why you should put a stop loss when trading. That is basically the reason why experience triumphs over education almost in all parts of the world, I would trust a 53 year old garbage man with my money over an 19 year old economy student.

[Swordsoffreedom]

The common mistake people make is that they don't have enough knowledge of the market as they mistake investing as trading. investing is like you throw the money and sit idly but trading is like you have to have constant knowledge of the market every time. When the market is dull, you have to hold your money. when the market is high, you have to withdraw your money immediately. Another mistake one should avoid is to stop trading in every other site. Not every site is secured and trusted, so always try to verify if the site you are trading on is trusted or not.

[travwill]

All of OP stated was right and a good trader we should simply avoid that and also avoid possible losses.
Probably OP you must add this, the greed. Through this, you have a chance to stay away on overtrading and also chasing you lose.
Nevertheless, overall was helpful thought and as a trader, they should know regarding this matter.

The problem is it’s rather difficult to distinguish greed from a prospective trading opportunity at the moment when you make decisions regarding opening or closing a deal.
This can only be understood by the end result. Therefore, it is extremely necessary and useful to keep a constant history of your transactions, as well as regularly analyze them.

[Arcas]

Although you lost when coin trading have lower price you must stop lost than you lost all your money in coin, I think when your coin not have bigger chance for growing up better cut lost than you must hold without have potential for growing up and you must lost all your money.

[miningguru]

Although you lost when coin trading have lower price you must stop lost than you lost all your money in coin, I think when your coin not have bigger chance for growing up better cut lost than you must hold without have potential for growing up and you must lost all your money.

I have tried this plan many times, but the prices are kept falling whenever we see an upward trend and downturn in the market. That's why we should always hold the profit we made in previous trades because trading is all buying and selling, buying again with the profits we made, whenever we lose value.

[TrevorS]

I think most of the traders here are somehow faced with the above errors, because they are quite typical. I also fell into the trap of my ignorance of stop loss.
I was very surprised at the surprise when I found out that there is a functional capable of giving me the necessary tool for advanced control of transactions offline.
If I knew this before, I would have saved a lot of money.

[cassavachips]

I add important things to me and maybe other people also need, never make a purchase with all the funds, do it in stages. Buying in stages is important to cover losses. Except in the condition of bitcoin or altcoin the price is really low