5 mistakes every crypto trader should avoid

[LouVandetta]

FOMO

We think that the top mistake, out of the 5 mistakes that every crypto trader should avoid, is giving into FOMO (the fear of missing out). New crypto traders are particularly susceptible to this, however even the most experienced trader can fall prey to it. Whether it’s in situations where you sell an asset too early because you’re afraid of making a loss, or even buying into sketchy projects just because somebody you know deemed it as the next great project, FOMO is never good.

This is one of the hardest mistake to avoid. Even traders with some experience and knowledge sometimes cannot avoid them.
Not to mention for newbie traders. It's even worse than it looks. Especially if they've been following some kind of trading signals.
They just blindy followed the signal without knowing that the price already too high. And panic selling when someone spreading FUDs.

[iamsange]

About over trading, i think it is just kind of strategy from people. Although not much people who do it, maybe out there people go full in trading. And what they do is look in market maybe stop only to take a rest. And it is not bad thing because market condition nobody know. And we talk about trading not investment, sometime suddenly market get pumped or dumped and we must ready to anything that could happen.

[Murat]

It's a common scenario that when a person enters in this cryptocurrency trading platform then he or she wants to trade with a huge amount, this trend is too much harmful to a newcomer, this should be avoided for the shake of a better trading opportunity, I think one special project is enough to bring back a huge profit if thing could be operated properly, not only that but also many project's investments hampers the growth rate of any trading, so I suggest always that not more than 3 projects should be run at a time, huge money involvement will bring huge mental pressure, that's why slow and steady run will bring a good run for trading purpose.

[aysg76]

The points you have mentioned are quite good but i would like to add some more to it like never trade in coins which you dont know or in other words say don't trade without knowledge and skill in this highly volatile market. As said never invest more than you afford to loose and try to be your own avoid copying other style in trading.And above all control your emotions if you want to earn profits in cryptocurrencies.

[danherbias07]

Putting too much money in too soon

Most of us start with pretty humble beginnings as traders, and that’s totally fine. However, trading above your means is one of the top rookie errors that a new trader can make. Emptying out your savings, or even taking a loan (Yes, people do this), is just a bad idea. Nobody is immune to making mistakes, and even professional crypto traders can be subject to losses.

Even if you think you’ve done enough research, making too risky moves that could cost you a lot in the early days, is just not a good idea. Rather trade with smaller amounts, build your way up slowly and minimize the consequences.

This is what I have done the first time around doing trading.
$100 as a capital and never went overboard once I lose all of those.
The good thing is I got an idea of what should be done. Besides, that money is what I have earned from efforts of bounty hunting.
Therefore, I didn't regret that much anymore although I did when I lose it.
Somehow I learned so many things and also because of that I did research what other type of trading strategies I could use to heighten my level into making profits.

[Oilacris]

Putting too much money in too soon

Most of us start with pretty humble beginnings as traders, and that’s totally fine. However, trading above your means is one of the top rookie errors that a new trader can make. Emptying out your savings, or even taking a loan (Yes, people do this), is just a bad idea. Nobody is immune to making mistakes, and even professional crypto traders can be subject to losses.

Even if you think you’ve done enough research, making too risky moves that could cost you a lot in the early days, is just not a good idea. Rather trade with smaller amounts, build your way up slowly and minimize the consequences.

This is what I have done the first time around doing trading.
$100 as a capital and never went overboard once I lose all of those.
The good thing is I got an idea of what should be done. Besides, that money is what I have earned from efforts of bounty hunting.
Therefore, I didn't regret that much anymore although I did when I lose it.
Somehow I learned so many things and also because of that I did research what other type of trading strategies I could use to heighten my level into making profits.

Mistakes are the best teachers but it depends if you would accept and learn from it because there were people who do directly gave up when experiencing some loss of money.

Its sad but its the reality and always invest on the amount that you can afford to lose just like the common line which can be applied on gambling too since we know that
any investment do had some risk of losing that's why its better to go minimal which wont hurt you out too much since you are already anticipating on what would happen.

[ethereumhunter]

Many traders will feel fear of missing, especially if the price starts to increase. They confuse how to enter the market while they don't have a target buy and sell, but they really want to make a profit. If that happens, then stop loss/take profit will not be reached, and that traders will spend too much money in one coin while that is not necessary to do that. They make another mistake by doing that over and over. Once FOMO happens, then everything will not work properly, and the traders will once again lose the money.

[Hamphser]

The points you have mentioned are quite good but i would like to add some more to it like never trade in coins which you dont know or in other words say don't trade without knowledge and skill in this highly volatile market. As said never invest more than you afford to loose and try to be your own avoid copying other style in trading.And above all control your emotions if you want to earn profits in cryptocurrencies.

It's just the same as never invest into something that you don't know. Before we engage in investment make sure we know what we are dealing with because your own money depends on it. And once you fail there's no turning back because the only way is to move forward. Learn from the other mistakes and move on.

[semobo]

Some traders do trades with random coins because of its highly volatility in the recent days and this strategy also highly recommended among intra day traders since they can make more profits from these kind of coins but we also need to have some knowledge about that coin before buying it,see the trading volume for recent days then look who is holding most of that token,if it is not diversified then we have to avoid trading since its just bump and dump coin.

[DeathProxy]

On of the biggest mistakes traders should not do is trading and making decisions durring trade with emotions.  Going into any crypto trade can lead to heavy loss. There is no need for any trader to be emotionally attached to any coin,  always remember to take profit at intervals , do not for the emotional love of the project hold any coin that you ought to have sold at the sight of profit it has yielded. Lay aside emotions durring trade and you will be able to Maximize your profit

[jazmuzika217]

Yes you are right. I agree on all of you knowledge sgare but I think you forget the most important thing that every traders will not to do that is too much greed. All we know that when we think as a greedy we cannot think well so we will have a wrong move or decison that will affect our investment or worst it will the reason of your loss.

[Distinctin]

Yes you are right. I agree on all of you knowledge sgare but I think you forget the most important thing that every traders will not to do that is too much greed. All we know that when we think as a greedy we cannot think well so we will have a wrong move or decison that will affect our investment or worst it will the reason of your loss.

Greed is not a problem but too much greed might lead into troubles. As I've always said, greed is a part of our life, it helps us to encourage, working hard in order to achieve what we've plan for. Only be bad when we use illegalities or whatever it is to succeed.
Keeping our self away from too much greed we should have to know what is satisfaction.   

[Pamadar]

Yes you are right. I agree on all of you knowledge sgare but I think you forget the most important thing that every traders will not to do that is too much greed. All we know that when we think as a greedy we cannot think well so we will have a wrong move or decison that will affect our investment or worst it will the reason of your loss.

Greed is not a problem but too much greed might lead into troubles. As I've always said, greed is a part of our life, it helps us to encourage, working hard in order to achieve what we've plan for. Only be bad when we use illegalities or whatever it is to succeed.
Keeping our self away from too much greed we should have to know what is satisfaction.   

That type of greed is beneficial since you are willing to aim for more success and to find good ways to benefits from the current situations, if you are aware and you can keep this kind of greediness and not to exceed to the point that you already missing lots of good opportunities. Even you have
greed inside you but practicing  to develop the right attitude and the right emotions to use will advance you to more successful trades.

[Genemind]

This fear of missing out (FOMO) is part of the reason that traders lose because most times, it is wrong timing for you. But you can't learn from it if you have not been a longtime trader who has built emotions on trade over time. You must be good at controlling your emotion on trade before you can avoid FOMO. Nice thread from OP.

This is definitely true, we will lose more if we can't handle our emotions. Cryptocurrency is volatile so there will really be lots of market changes. Our fear of missing out and impatience could only lead us to wrong decisions and future losses. That's the reason why learning should be put first so we'll know how to deal with every market situation.

[acdc]

FOMO is an error that most newcomers will experience, people are very susceptible to emotional domination when trading on the cryptocurrency market. Even experienced traders sometimes get FOMO.
We need to control our emotions, be patient while trading cryptocurrencies.

[alexsandria]

Pretty damn right. But there are still a lot of mistakes we often forget to avoid, overdoing something specially when we get somehow lose on a straight. Though we been noticing it late when we got tight money after that. Well, for me the key is discipline always. Discipline at everything, it will only be applicable if you are aware on what you are currently doing so that you'll be avoid or prevent potential loss or mistakes.

[Visbay]

This fear of missing out (FOMO) is part of the reason that traders lose because most times, it is wrong timing for you. But you can't learn from it if you have not been a longtime trader who has built emotions on trade over time. You must be good at controlling your emotion on trade before you can avoid FOMO. Nice thread from OP.

This is definitely true, we will lose more if we can't handle our emotions. Cryptocurrency is volatile so there will really be lots of market changes. Our fear of missing out and impatience could only lead us to wrong decisions and future losses. That's the reason why learning should be put first so we'll know how to deal with every market situation.

For sure we lose because of our own mistakes if we will not make such foolish mistakes of listening other and panic we will not lose any of our coins. Crypto market is volatile so the price of coins fluctuates but a trader must know how to handle himself and don’t take stress about this volatility just hold and trade for the long term it will help you avoid losing.

[samcrypto]

FOMO is an error that most newcomers will experience, people are very susceptible to emotional domination when trading on the cryptocurrency market. Even experienced traders sometimes get FOMO.
We need to control our emotions, be patient while trading cryptocurrencies.

There’s a big hype in this market and FOMO can actually make profit to you if you know how to use it but of course overall it is not good. Trading is a big responsibility, we make mistakes and we should learn from that. Avoid over trading because it can still lose your money with the fees and if the coins you are trading is not performing well. Diversification is not that good it trading, and I agree on most the mistakes listed above, we should be more knowledgeable about trading.

[Distinctin]

Yes you are right. I agree on all of you knowledge sgare but I think you forget the most important thing that every traders will not to do that is too much greed. All we know that when we think as a greedy we cannot think well so we will have a wrong move or decison that will affect our investment or worst it will the reason of your loss.

Greed is not a problem but too much greed might lead into troubles. As I've always said, greed is a part of our life, it helps us to encourage, working hard in order to achieve what we've plan for. Only be bad when we use illegalities or whatever it is to succeed.
Keeping our self away from too much greed we should have to know what is satisfaction.  

That type of greed is beneficial since you are willing to aim for more success and to find good ways to benefits from the current situations, if you are aware and you can keep this kind of greediness and not to exceed to the point that you already missing lots of good opportunities. Even you have
greed inside you but practicing  to develop the right attitude and the right emotions to use will advance you to more successful trades.

It should be like that and we also have to know the consequences of our doings. Greediness is not bad at all if we put it in the right place and do it in the right things. But somehow people never think about instead they were badly taking advantage of their power which many of us appreciate greed is not good. It may be we could just put bad claims about greediness if that is too much, not even helping us anymore but instead, it worsens the problem at all.

[BigBos]

FOMO is a part that I really pay attention to those 5 mistakes. however, seeing so many FUDs makes us want to sell our assets immediately. because of this, so many of us sell assets, not at the right time. even when we are very patient and confident with the strategies we have thinking, FOMO will always be a difficult challenge to stop. I might have another way to avoid FOMO, which is to try to focus elsewhere so that I can forget about my assets even if only briefly