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December 13, 2025, 08:56:52 AM |
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This is a very rare theory almost no one talks about. It explaines how people can win something and still be worse off than before. When a person overpays for an asset, opportunity, or deal just cause they were the most aggressive bidder, the market punishes them later.
We can almost see this happening all the time in the crypto world. A coin starts pumping & people rush in. The price keep rising because everyone is afraid of missing out, then someone buys at the very top just because emotions are now driving decisions. Theoretically speaking, that person win's the trade execution but he also loses financially because he overestimated the value of the coin.
The things is, most times, the victim don't realize this until months or years later. This theory explains how hype is often not real victory or profits.
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