5 Common Trading Mistakes

Trading losses often come from various mistakes. Specifically, these are the 5 most common cryptocurrency trading errors.

Spending more than you make

Let’s say you trade successfully and earn $1000, but next time you invest 1500 USD. That is, the money you invest is more than the money you make. Because at that time, psychology is excited, you think you are on the rise.

Therefore, you are confident that you will make more if you invest more, even more than the amount you can earn and have.

Know how to stop at the right time

In any investment, you also need a stop, do not let your greed make you fall hook, line and sinker.

There is no action plan

Before trading or investing, a professional investor will have a plan from before by researching, analyzing and making strategies, not acting emotionally. They always have a backup plan for the arising risks so that things do not fall out of control.

You’ve not been withdrawn your coins for a long time

In recent years, the money 4.0 market has been active, its total capitalization is estimated to reach hundreds of billions of dollars, so its value is overlooked by many cybercriminals, especially Bitcoin.

Black-hat hackers will always stalk and find ways to hack into the wallet system on a cryptocurrency exchange.

Therefore, users should consider how much money they need to keep in a cold wallet depending on their trading needs, or find a safe place to keep.

Fear and greed influence action

In the money 4.0 market, there are always rumors, corridor news. And how you receive that information is training your mind.

If you do not hold the mindset to overwhelm fear and greed, you can easily lose control and commit wrong actions.

Do not learn experiences from the previous trading sessions

Skilled investors always have records from failure. Take notes, learn from them and ask yourself to learn from experiences for the next session.

Mistakes are unavoidable when entering a cryptocurrency market.

Please understand that the above 5 mistakes will be valuable lessons and experiences to be wise men learn by other men’s mistakes, fools by their own.